Exhibit 10.2
EXECUTION COPY
▇▇▇▇▇▇ RUBBERMAID INC.
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364-DAY CREDIT AGREEMENT
Dated as of June 14, 2002
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$650,000,000
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JPMORGAN CHASE BANK,
as Administrative Agent
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▇.▇. ▇▇▇▇▇▇ SECURITIES INC.,
as Sole Lead Arranger and Sole Bookrunner
BANK OF AMERICA, N.A.
and BANK ONE, NA,
as Co-Syndication Agents
BARCLAYS BANK PLC
and BNP PARIBAS,
as Co-Documentation Agents
TABLE OF CONTENTS
PAGE
SECTION 1. DEFINITIONS AND ACCOUNTING MATTERS...................................................................1
1.01 CERTAIN DEFINED TERMS.............................................................................1
1.02 ACCOUNTING TERMS AND DETERMINATIONS..............................................................16
1.03 TYPES OF LOANS...................................................................................17
1.04 TERMS GENERALLY..................................................................................17
1.05. CURRENCIES; CURRENCY EQUIVALENTS; PROVISIONS RELATING TO EUROPEAN MONETARY UNION................17
SECTION 2. COMMITMENTS.........................................................................................18
2.01 LOANS............................................................................................18
2.02 BORROWINGS OF COMMITTED LOANS....................................................................19
2.03 COMPETITIVE LOANS................................................................................20
2.04 BORROWINGS BY DESIGNATED BORROWERS...............................................................24
2.05 CHANGES OF COMMITMENTS...........................................................................24
2.06 FEES.............................................................................................26
2.07 LENDING OFFICES..................................................................................27
2.08 SEVERAL OBLIGATIONS; REMEDIES INDEPENDENT........................................................27
2.09 EVIDENCE OF DEBT.................................................................................27
2.10 PREPAYMENTS; CONVERSIONS AND CONTINUATIONS.......................................................28
SECTION 3. PAYMENTS OF PRINCIPAL AND INTEREST..................................................................29
3.01 REPAYMENT OF LOANS...............................................................................29
3.02 INTEREST.........................................................................................29
3.03 REDENOMINATION...................................................................................30
SECTION 4. PAYMENTS; PRO RATA TREATMENT; COMPUTATIONS; ETC.....................................................30
4.01 PAYMENTS.........................................................................................30
4.02 PRO RATA TREATMENT...............................................................................31
4.03 COMPUTATIONS.....................................................................................31
4.04 NON-RECEIPT OF FUNDS BY THE ADMINISTRATIVE AGENT.................................................32
4.05 SET-OFF; SHARING OF PAYMENTS.....................................................................32
SECTION 5. YIELD PROTECTION AND ILLEGALITY.....................................................................33
5.01 ADDITIONAL COSTS.................................................................................33
5.02 LIMITATION ON TYPES OF LOANS.....................................................................34
5.03 ILLEGALITY.......................................................................................35
5.04 BASE RATE LOANS PURSUANT TO SECTIONS 5.01 AND 5.03...............................................35
5.05 COMPENSATION.....................................................................................36
5.06 TAXES............................................................................................36
5.07 REPLACEMENT OF LENDERS...........................................................................37
SECTION 6. CONDITIONS PRECEDENT................................................................................38
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6.01 EFFECTIVE DATE...................................................................................38
6.02 INITIAL AND SUBSEQUENT CREDIT EXTENSIONS.........................................................39
SECTION 7. REPRESENTATIONS AND WARRANTIES......................................................................40
7.01 CORPORATE EXISTENCE..............................................................................40
7.02 FINANCIAL CONDITION..............................................................................40
7.03 LITIGATION.......................................................................................41
7.04 NO BREACH........................................................................................41
7.05 CORPORATE ACTION.................................................................................41
7.06 APPROVALS........................................................................................41
7.07 USE OF CREDIT....................................................................................41
7.08 ERISA............................................................................................41
7.09 INVESTMENT COMPANY ACT; PUBLIC UTILITY HOLDING COMPANY ACT.......................................42
7.10 CREDIT AGREEMENTS................................................................................42
7.11 HAZARDOUS MATERIALS..............................................................................42
7.12 TAXES............................................................................................42
7.13 TRUE AND COMPLETE DISCLOSURE.....................................................................43
7.14 SUBSIDIARIES.....................................................................................43
7.15 COMPLIANCE WITH LAW..............................................................................43
7.16 DESIGNATED BORROWER APPROVALS....................................................................43
SECTION 8. COVENANTS OF THE COMPANY............................................................................43
8.01 FINANCIAL STATEMENTS.............................................................................43
8.02 LITIGATION.......................................................................................46
8.03 CORPORATE EXISTENCE, ETC.........................................................................46
8.04 INSURANCE........................................................................................46
8.05 USE OF PROCEEDS..................................................................................46
8.06 INDEBTEDNESS.....................................................................................47
8.07 FUNDAMENTAL CHANGES..............................................................................47
8.08 LIENS............................................................................................48
8.09 LINES OF BUSINESSES..............................................................................49
8.10 TOTAL INDEBTEDNESS TO TOTAL CAPITAL..............................................................49
8.11 INTEREST COVERAGE RATIO..........................................................................49
8.12 TRANSACTIONS WITH AFFILIATES.....................................................................50
SECTION 9. EVENTS OF DEFAULT...................................................................................50
SECTION 10. THE ADMINISTRATIVE AGENT...........................................................................52
10.01 APPOINTMENT, POWERS AND IMMUNITIES..............................................................52
10.02 RELIANCE BY ADMINISTRATIVE AGENT................................................................53
10.03 DEFAULTS........................................................................................53
10.04 RIGHTS AS A LENDER..............................................................................53
10.05 INDEMNIFICATION.................................................................................53
10.06 NON-RELIANCE ON ADMINISTRATIVE AGENT AND OTHER LENDERS..........................................54
10.07 FAILURE TO ACT..................................................................................54
10.08 RESIGNATION OR REMOVAL OF ADMINISTRATIVE AGENT..................................................54
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10.09 LEAD ARRANGER AND OTHER AGENTS..................................................................55
SECTION 11. GUARANTEE..........................................................................................55
11.01 GUARANTEE.......................................................................................55
11.02 OBLIGATIONS UNCONDITIONAL.......................................................................55
11.03 REINSTATEMENT...................................................................................56
11.04 SUBROGATION.....................................................................................56
11.05 REMEDIES........................................................................................56
11.06 CONTINUING GUARANTEE............................................................................56
SECTION 12. MISCELLANEOUS......................................................................................56
12.01 WAIVER..........................................................................................56
12.02 NOTICES.........................................................................................56
12.03 EXPENSES, ETC...................................................................................57
12.04 AMENDMENTS, ETC.................................................................................57
12.05 ASSIGNMENTS AND PARTICIPATIONS..................................................................58
12.06 SURVIVAL........................................................................................61
12.07 CAPTIONS........................................................................................61
12.08 COUNTERPARTS; EFFECTIVENESS.....................................................................61
12.09 GOVERNING LAW; JURISDICTION; SERVICE OF PROCESS; WAIVER OF JURY TRIAL; ETC......................61
12.10 SUCCESSORS AND ASSIGNS..........................................................................62
12.11 JUDGMENT CURRENCY...............................................................................62
12.12 WAIVER OF NOTICE UNDER EXISTING CREDIT AGREEMENT................................................63
Annex I - Commitments
Schedule I - List of Indebtedness
Schedule II - List of Certain Liens
EXHIBIT A-1 - Form of Opinion of Special Illinois Counsel
EXHIBIT A-2 - Form of Opinion of ▇▇▇▇ ▇. ▇▇▇▇▇▇▇▇▇▇▇, Esq.,
Vice-President - General Counsel to the
Company and its Subsidiaries
EXHIBIT B - Form of Opinion of Special
New York Counsel to the
Administrative Agent
EXHIBIT C - Form of Competitive Bid Request
EXHIBIT D - Form of Competitive Bid
EXHIBIT E-1 - Form of Designation Letter
EXHIBIT E-2 - Form of Termination Letter
EXHIBIT F - Form of Assignment and Assumption
EXHIBIT G - Form of Assumption Agreement
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CREDIT AGREEMENT
364-DAY CREDIT AGREEMENT dated as of June 14, 2002, between
▇▇▇▇▇▇ RUBBERMAID INC., a corporation duly organized and validly existing under
the laws of the State of Delaware (together with its successors, the "COMPANY");
each of the lenders which is a signatory hereto (together with its successors
and permitted assigns, individually, a "LENDER" and, collectively, the
"LENDERS"); and JPMORGAN CHASE BANK, as administrative agent for the Lenders (in
such capacity, together with its successors in such capacity, the
"ADMINISTRATIVE AGENT").
The Company has requested that the Lenders make loans to it
and the other Borrowers (as hereinafter defined) in an aggregate principal
amount not exceeding $650,000,000 at any one time outstanding. The Lenders are
prepared to make such loans upon the terms and conditions hereof, and,
accordingly, the parties agree as follows:
SECTION 1. DEFINITIONS AND ACCOUNTING MATTERS.
1.01 CERTAIN DEFINED TERMS. As used herein, the following
terms shall have the following meanings (all terms defined in this Section 1 or
in other provisions of this Agreement in the singular to have the same meanings
when used in the plural and vice versa):
"ADJUSTED LIBO RATE" shall mean, for any LIBO Rate Loan for
any Interest Period, a rate per annum (rounded upwards, if necessary, to the
nearest 1/16 of 1%) determined by the Administrative Agent to be equal to the
LIBO Rate for the Interest Period for such Loan divided by 1 minus the Reserve
Requirement for such Loan for such Interest Period.
"ADMINISTRATIVE AGENT'S ACCOUNT" shall mean, in respect of any
Currency, such account as the Administrative Agent shall designate in a notice
to the Company and the Lenders.
"ADMINISTRATIVE QUESTIONNAIRE" shall mean an Administrative
Questionnaire in the form supplied by the Administrative Agent.
"AFFILIATE" shall mean, with respect to a specified Person,
another Person that directly, or indirectly through one or more intermediaries,
Controls or is Controlled by or is under common Control with the Person
specified.
"ALTERNATIVE CURRENCY" shall mean at any time (a) Euros and
(b) any currency (other than Dollars and Euros) so long as at such time, (i)
such currency is dealt with in the London interbank deposit market, (ii) such
currency is freely transferable and convertible into Dollars in the London
foreign exchange market and (iii) no central bank or other governmental
authorization in the country of issue of such currency is required to permit use
of such currency by any Lender for making any Loan hereunder and/or to permit
the relevant Borrower to borrow and repay the principal thereof and to pay the
interest thereon, unless such authorization has been obtained and is in full
force and effect.
"APPLICABLE FACILITY FEE RATE", "APPLICABLE UTILIZATION FEE
RATE", "APPLICABLE MARGIN" and "APPLICABLE TERM LOAN PREMIUM" shall mean, during
any period when the Rating
is at one of the Rating Groups specified below, the percentage set forth below
opposite the reference to such fee or to the relevant Type of Committed Loan:
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Rating Rating Rating Rating Rating
Group Group Group Group Group
I II III IV V
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Applicable Facility 0.05% 0.08% 0.10% 0.125% 0.175%
Fee Rate
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Applicable Margin for Committed
LIBOR Loans 0.20% 0.32% 0.40% 0.50% 0.70%
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Applicable Margin for
Base Rate Loans 0% 0% 0% 0% 0%
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Applicable Utilization Fee Rate
(GREATER THAN OR EQUAL TO 50%) 0.05% 0.10% 0.125% 0.125% 0.25%
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Applicable Term Loan Premium 0.25% 0.25% 0.25% 0.25% 0.25%
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Any change in the Applicable Facility Fee Rate, the Applicable Utilization Fee
Rate, the Applicable Margin or the Applicable Term Loan Premium by reason of a
change in the ▇▇▇▇▇'▇ Rating, the Standard & Poor's Rating or the Fitch Rating
shall become effective on the date of announcement or publication by the
respective Rating Agency of a change in such Rating or, in the absence of such
announcement or publication, on the effective date of such changed rating.
"APPLICABLE LENDING OFFICE" shall mean for each Lender and for
each Type and Currency of Loan the lending office of such Lender (or of an
Affiliate of such Lender) designated for such Type and Currency of Loan in the
Administrative Questionnaire submitted by such Lender or such other office of
such Lender (or of an Affiliate of such Lender) as such Lender may from time to
time specify to the Administrative Agent and the Company.
"APPROVED DESIGNATED BORROWER" shall mean (i) any Domestic
Subsidiary that is a Wholly-Owned Subsidiary of the Company as to which a
Designation Letter has been delivered to the Administrative Agent and as to
which a Termination Letter shall not have been delivered to the Administrative
Agent, which Subsidiary has been approved as a borrower hereunder by all of the
Lenders, all in accordance with Section 2.04, and (ii) for the purposes of
Section 5.06, also the Company.
"ASSIGNMENT AND ASSUMPTION" shall mean an assignment and
assumption entered into by a Lender and an assignee (with the consent of any
party whose consent is required by Section 12.05), and accepted by the
Administrative Agent, in the form of Exhibit F or any other form approved by the
Administrative Agent.
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"ASSUMING LENDER" shall have the meaning assigned to that term
in Section 2.05(d)(i).
"ASSUMPTION AGREEMENT" shall mean an assumption agreement
entered into by the Company and an Assuming Lender pursuant to Section 2.05(d),
and accepted by the Administrative Agent, in the form of Exhibit G or any other
form approved by the Administrative Agent.
"BANKRUPTCY CODE" means the United States Bankruptcy Code of
1978, as amended from time to time.
"BASE RATE" shall mean, with respect to any Base Rate Loan,
for any day, the higher of (a) the Federal Funds Rate for such day plus 1/2 of
1% and (b) the Prime Rate for such day.
"BASE RATE LOANS" shall mean Loans which bear interest based
upon the Base Rate.
"BORROWERS" shall mean the Company, each Approved Designated
Borrower and each Designated Borrower.
"BUSINESS DAY" shall mean any day (a) that is not a Saturday,
Sunday or other day on which commercial banks are authorized or required to
close in
New York City, (b) if such day relates to the giving of notices or
quotes in connection with a LIBOR Auction or to a borrowing of, a payment or
prepayment of principal of or interest on, Conversion of or into, or an Interest
Period for, a LIBO Rate Loan or a notice by the Company with respect to any such
borrowing, payment, prepayment, Conversion or Interest Period, also on which
dealings in deposits are carried out in the London interbank market and (c)(i)
if such day relates to the date on which the LIBO Rate is determined under this
Agreement for the Interest Period of any Loan denominated in Euros, that is also
a TARGET Day or (ii) if such day relates to a borrowing of, a payment or
prepayment of principal of or interest on, or an Interest Period for, any Loan
denominated in an Alternative Currency (other than Euros), or a notice by the
Company with respect to any such borrowing, payment, prepayment or Interest
Period, also a day commercial banks and the London foreign exchange market
settle payments for such Alternative Currency in the principal finance center
where such currency is cleared and settled (as determined by the Administrative
Agent).
"CAPITAL LEASE OBLIGATIONS" shall mean, as to any Person, the
obligations of such Person to pay rent or other amounts under a lease of (or
other agreement conveying the right to use) real and/or personal property which
obligations are required to be classified and accounted for as a capital lease
on a balance sheet of such Person under GAAP (including Statement of Financial
Accounting Standards No. 13 of the Financial Accounting Standards Board) and,
for purposes of this Agreement, the amount of such obligations shall be the
capitalized amount thereof, determined in accordance with GAAP (including such
Statement No. 13).
"CODE" shall mean the Internal Revenue Code of 1986, as
amended from time to time.
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"COMMITMENT" shall mean, as to each Lender, the obligation of
such Lender to make Committed Loans in an aggregate amount at any one time
outstanding equal to the amount set opposite such Lender's name on Annex I
hereto under the caption "Commitment" (as the same may be reduced or increased
from time to time pursuant to this Agreement). The original aggregate principal
amount of the Commitments is $650,000,000.
"COMMITMENT TERMINATION DATE" shall mean June 13, 2003;
PROVIDED that, if such date is not a Business Day, the Commitment Termination
Date shall be the next preceding Business Day.
"COMMITTED LOANS" shall mean the loans provided for by Section
2.01.
"COMMITTED LIBOR LOANS" shall mean Committed Loans the
interest rates on which are determined on the basis of Adjusted LIBO Rates.
"COMPETITIVE AFFILIATE LOAN" shall mean a Competitive Loan to
be made by an Affiliate of a Lender pursuant to Section 2.03(h).
"COMPETITIVE BID" shall have the meaning assigned to that term
in Section 2.03(c)(i).
"COMPETITIVE BID RATE" shall have the meaning assigned to that
term in Section 2.03(c)(ii)(D).
"COMPETITIVE BID REQUEST" shall have the meaning assigned to
that term in Section 2.03(b).
"COMPETITIVE BORROWING" shall have the meaning assigned to
that term in Section 2.03(b).
"COMPETITIVE LIBOR LOANS" shall mean Competitive Loans the
interest rates on which are determined on the basis of Adjusted LIBO Rates
pursuant to a LIBOR Auction.
"COMPETITIVE LOAN LIMIT" shall have the meaning assigned to
that term in Section 2.03(c)(ii).
"COMPETITIVE LOANS" shall mean the loans provided for by
Section 2.03.
"CONSOLIDATED EBITDA" shall mean, for any period, Consolidated
Net Income for such period PLUS, without duplication and to the extent deducted
in determining such Consolidated Net Income for such period, the sum of (a)
income tax expense, (b) interest expense, amortization or writeoff of debt
discount and debt issuance costs and commissions, discounts and other fees and
charges associated with Indebtedness (including the Loans), (c) depreciation and
amortization expense, (d) amortization of intangibles (including, but not
limited to, goodwill) and organization costs and (e) any extraordinary, unusual
or non-recurring charges or losses, and MINUS, to the extent included in
determining such Consolidated Net Income for such period, the sum of (a)
interest income, (b) any extraordinary, unusual or non-recurring
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income or gains (including, whether or not otherwise includable as a separate
item in the statement of such Consolidated Net Income for such period, gains on
the sales of assets outside of the ordinary course of business) and (c) any
other non-cash income, all as determined on a consolidated basis.
"CONSOLIDATED INTEREST EXPENSE" shall mean, for any period and
without duplication, total interest expense (including that attributable to
Capital Lease Obligations) of the Company and its Subsidiaries for such period
with respect to all outstanding Indebtedness of the Company and its Subsidiaries
accrued or capitalized during such period (whether or not actually paid during
such period) (including all commissions, discounts and other fees and charges
owed with respect to standby letters of credit and bankers' acceptance financing
and net costs under Swap Agreements in respect of interest rates to the extent
such net costs are allocable to such period in accordance with GAAP), but
excluding any interest expense for such period relating to quarterly or monthly
income preferred securities, quarterly income capital securities or other
similar securities.
"CONSOLIDATED NET INCOME" shall mean, for any period, the
consolidated net income (or loss) of the Company and its Subsidiaries,
determined on a consolidated basis in accordance with GAAP; PROVIDED that there
shall be excluded (a) the income (or deficit) of any Person accrued prior to the
date it becomes a Subsidiary of the Company or is merged into or consolidated
with the Company or any of its Subsidiaries, (b) the income (or deficit) of any
Person (other than a Subsidiary of the Company) in which the Company or any of
its Subsidiaries has an ownership interest, except to the extent that any such
income is actually received by the Company or such Subsidiary in the form of
dividends or similar distributions and (c) the undistributed earnings of any
Subsidiary of the Company to the extent that the declaration or payment of
dividends or similar distributions by such Subsidiary is not at the time
permitted by the terms of any security issued by the Company or any of its
Subsidiaries or of any agreement, instrument or other undertaking to which the
Company or any of its Subsidiaries is a party or by which any of them or their
respective property is bound (other than under any Credit Document) or
Requirement of Law applicable to such Subsidiary.
"CONTROL" shall mean the possession, directly or indirectly,
of the power to direct or cause the direction of the management or policies of a
Person, whether through the ability to exercise voting power, by contract or
otherwise. "CONTROLLING" and "CONTROLLED" have meanings correlative thereto.
"CONVERT", "CONVERSION" and "CONVERTED" shall refer to a
conversion pursuant to Section 2.10(b) of one Type of Committed Loans into the
other Type of Committed Loans, which may be accompanied by a transfer by a
Lender (at its sole discretion) of a Committed Loan from one Applicable Lending
Office to another).
"CONTINUE", "CONTINUATION" and "CONTINUED" shall refer to a
continuation pursuant to Section 2.10(b) of a Committed LIBOR Loan from one
Interest Period to the next Interest Period.
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"CREDIT DOCUMENTS" shall mean this Agreement, the Notes, if
any, each Designation Letter and each Termination Letter.
"CREDIT EXTENSION" shall mean the making of any Loan
hereunder.
"CURRENCY" shall mean Dollars or any Alternative Currency.
"DEFAULT" shall mean an Event of Default or an event which
with notice or lapse of time or both would become an Event of Default.
"DESIGNATED BORROWER" shall mean any Wholly-Owned Subsidiary
of the Company as to which a Designation Letter has been delivered to the
Administrative Agent and as to which a Termination Letter shall not have been
delivered to the Administrative Agent in accordance with Section 2.04; and the
term "Designated Borrower" shall include any Approved Designated Borrower.
"DESIGNATION LETTER" shall have the meaning assigned to that
term in Section 2.04(a).
"DETERMINATION DATE" shall mean, for any Disposition, the last
day of the fiscal quarter ending on or immediately preceding the date of such
Disposition.
"DISPOSITION" shall have the meaning assigned to that term in
Section 8.07(vi).
"DISPOSITION PERIOD" shall mean, for any Disposition, a period
of twelve months ending on the date of such Disposition; PROVIDED that prior to
March 31, 2003 "Disposition Period" shall mean, as at any date of determination,
the period commencing on April 1, 2002 and ending on such determination date.
"DOLLAR EQUIVALENT" shall mean, with respect to any Loan
denominated in an Alternative Currency, the amount of Dollars that would be
required to purchase the amount of the Alternative Currency of such Loan on the
date such Loan is requested (or, (a) in the case of Competitive Loans, the date
of the related Competitive Bid Request and (b) in the case of any redenomination
under Section 3.03, on the date of such redenomination), based upon the
arithmetic mean (rounded upwards, if necessary, to the nearest 1/100 of 1%), as
determined by the Administrative Agent, of the spot selling rate at which the
Reference Banks offer to sell such Alternative Currency for Dollars in the
London foreign exchange market at approximately 11:00 a.m. London time for
delivery two Business Days later.
"DOLLARS" and "$" shall mean lawful money of the United States
of America.
"DOMESTIC SUBSIDIARY" shall mean any Subsidiary of the Company
that is incorporated under the laws of the United States of America or any State
thereof or the District of Columbia.
"EFFECTIVE DATE" shall mean the date on which the conditions
specified in Section 6.01 are satisfied (or waived in accordance with Section
12.04).
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"ENVIRONMENTAL AFFILIATE" shall mean, as to any Person, any
other Person whose liability (contingent or otherwise) for any Environmental
Claim such Person may have retained, assumed or otherwise become liable
(contingently or otherwise), whether by contract, operation of law or otherwise;
PROVIDED that each Subsidiary of such Person, and each former Subsidiary or
division of such Person transferred to another Person, shall in any event be an
"Environmental Affiliate" of such Person.
"ENVIRONMENTAL CLAIM" shall mean, with respect to any Person,
any notice, claim, demand or other communication (whether written or oral) by
any other Person alleging or asserting liability of such Person for
investigatory costs, cleanup costs, governmental response costs, damages to
natural resources or other Property, personal injuries, fines or penalties
arising out of, based on or resulting from (a) the presence, or release into the
environment, of any hazardous material at any location, whether or not owned by
such Person, or (b) circumstances forming the basis of any violation, or alleged
violation, of any Environmental Law.
"ENVIRONMENTAL LAWS" shall mean any and all Federal, state,
local and foreign statutes, laws, regulations, ordinances, rules, judgments,
orders, decrees, permits, concessions, grants, franchises, licenses, agreements
or other governmental restrictions relating to the environment or to emissions,
discharges, releases or threatened releases of pollutants, contaminants,
chemicals or industrial, toxic or hazardous substances or wastes into the
environment, including, without limitation, ambient air, surface water, ground
water or land, or otherwise relating to the manufacture, processing,
distribution, use, treatment, storage, disposal, transport or handling of
pollutants, contaminants, chemicals or industrial, toxic or hazardous substances
or wastes.
"ERISA" shall mean the Employee Retirement Income Security
Act of 1974, as amended from time to time.
"ERISA AFFILIATE" shall mean any trade or business (whether or
not incorporated) that, together with the Company, is treated as a single
employer under Section 414(b) or (c) of the Code, or, solely for purposes of
Section 302 of ERISA and Section 412 of the Code, is treated as a single
employer under Section 414 of the Code.
"EURO" shall mean the single currency of Participating Member
States of the European Union.
"EVENT OF DEFAULT" shall have the meaning assigned to that
term in Section 9.
"FEDERAL FUNDS RATE" shall mean, for any day, the weighted
average (rounded upwards, if necessary, to the nearest 1/100th of 1%) of the
rates on overnight Federal funds transactions with members of the Federal
Reserve System arranged by federal funds brokers on such day as published by the
Federal Reserve Bank of
New York on the Business Day next succeeding such day,
PROVIDED that (i) if the day for which such rate is to be determined is not a
Business Day, the Federal Funds Rate for such day shall be such rate on such
transactions on the next preceding Business Day as so published on the next
succeeding Business Day, and (ii) if such rate is not so published for any day,
the Federal Funds Rate for such day shall be the average (rounded upwards, if
necessary, to the next 1/100th of 1%) of the quotations for such day
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for transactions received by the Administrative Agent from three Federal funds
brokers of recognized standing selected by it.
"FITCH" shall mean Fitch Investors Services, Inc. or any
successor thereto.
"FITCH RATING" shall mean, as of any date, the rating most
recently published by Fitch relating to the unsecured, long-term, senior debt
securities of the Company.
"FOREIGN CURRENCY EQUIVALENT" shall mean, with respect to any
amount in Dollars, the amount of any Alternative Currency that could be
purchased with such amount of Dollars using the reciprocal of foreign exchange
rate(s) specified in the definition of the term "Dollar Equivalent", as
determined by the Administrative Agent.
"FOREIGN SUBSIDIARY" shall mean any Subsidiary of the Company
that is not a Domestic Subsidiary.
"GAAP" shall mean generally accepted accounting principles
applied on a basis consistent with those which, in accordance with the last
sentence of Section 1.02(a), are to be used in making the calculations for
purposes of determining compliance with the provisions of this Agreement.
"GOVERNMENTAL AUTHORITY" shall mean any nation or government,
any state or other political subdivision thereof, any agency, authority,
instrumentality, regulatory body, court, central bank or other entity exercising
executive, legislative, judicial, taxing, regulatory or administrative functions
of or pertaining to government, any securities exchange and any self-regulatory
organization.
"GUARANTEE" of any Person shall mean any guarantee,
endorsement, contingent agreement to purchase or to furnish funds for the
payment or maintenance of, or any other contingent liability on or with respect
to, the Indebtedness, other obligations, net worth, working capital or earnings
of any other Person (including, without limitation, the liability of such Person
in respect of the Indebtedness of any partnership of which such Person is a
general partner), or the guarantee by such Person of the payment of dividends or
other distributions upon the stock of any other Person, or the agreement by such
Person to purchase, sell or lease (as lessee or lessor) property, products,
materials, supplies or services primarily for the purpose of enabling any other
Person to make payment of its obligations or to assure a creditor against loss,
and the verb "GUARANTEE" shall have a correlative meaning, PROVIDED that the
term "Guarantee" shall not include endorsements for collection or deposits in
the ordinary course of business.
"INCREASING LENDER" shall have the meaning assigned to that
term in Section 2.05(d)(i).
"INDEBTEDNESS" shall mean, as to any Person at any date
(without duplication): (i) indebtedness created, issued, incurred or assumed by
such Person for borrowed money or evidenced by bonds, debentures, notes or
similar instruments; (ii) all obligations of such Person to pay the deferred
purchase price of property or services, excluding, however, trade accounts
payable (other than for borrowed money) arising in, and accrued expenses
incurred in, the
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ordinary course of business of such Person so long as such trade accounts
payable are paid within 120 days of the date the respective goods are delivered
or the services are rendered; (iii) all Indebtedness of others secured by a Lien
on any asset of such Person, whether or not such Indebtedness is assumed by such
Person; (iv) all Indebtedness of others Guaranteed by such Person; (v) all
Capital Lease Obligations; (vi) reimbursement obligations of such Person
(whether contingent or otherwise) in respect of bankers acceptances, surety or
other bonds and similar instruments (other than commercial, standby or
performance letters of credit); (vii) unpaid reimbursement obligations of such
Person (other than contingent obligations) in respect of commercial, standby or
performance letters of credit; and (viii) debt securities or obligations
(including preferred debt securities) issued in connection with Permitted
Securitizations included as indebtedness in accordance with GAAP on a
consolidated balance sheet of such Person.
"INTEREST COVERAGE RATIO" shall mean, as at any date of
determination thereof, the ratio of (a) Consolidated EBITDA for the period of
four consecutive fiscal quarters ending on or most recently ended prior to such
date to (b) Consolidated Interest Expense for such period.
"INTEREST PERIOD" shall mean:
(a) with respect to any Committed LIBOR Loan, each period
commencing on the date such Committed LIBOR Loan is made or Converted
from a Committed Loan of another Type or the last day of the next
preceding Interest Period for such Loan and ending on the numerically
corresponding day in the first, second, third or sixth calendar month
thereafter, as the Company (on its own behalf and on behalf of any
other Borrower) may select as provided in Section 2.02, except that
each Interest Period that commences on the last Business Day of a
calendar month (or on any day for which there is no numerically
corresponding day in the appropriate subsequent calendar month) shall
end on the last Business Day of the appropriate subsequent calendar
month;
(b) with respect to any Set Rate Loan, the period commencing
on the date such Set Rate Loan is made and ending on any Business Day
up to 180 days thereafter, as the Company may select as provided in
Section 2.03(b); and
(c) with respect to any Competitive LIBOR Loan, the period
commencing on the date such Competitive LIBOR Loan is made and ending
on the numerically corresponding day in the first, second, third or
sixth calendar month thereafter, as the Company may select as provided
in Section 2.03(b), except that each Interest Period which commences on
the last Business Day of a calendar month (or any day for which there
is no numerically corresponding day in the appropriate subsequent
calendar month) shall end on the last Business Day of the appropriate
subsequent calendar month.
Notwithstanding the foregoing: (i) if any Interest Period would otherwise
commence before and end after the Commitment Termination Date or the maturity
date of the Term Loans as provided in Section 2.01(b), such Interest Period
shall not be available hereunder; (ii) each Interest Period which would
otherwise end on a day which is not a Business Day shall end on the next
succeeding Business Day (or, in the case of an Interest Period for any LIBO Rate
Loans, if such next succeeding Business Day falls in the next succeeding
calendar month, on the next preceding
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Business Day); and (iii) notwithstanding clause (i) above, no Interest Period
for any LIBO Rate Loans shall have a duration of less than one month and, if the
Interest Period for any such Loans would otherwise be a shorter period, such
Loans shall not be available hereunder.
"JPMCB" shall mean JPMorgan Chase Bank.
"JURISDICTION" shall mean, with respect to any Borrower, the
country or countries (including any political subdivision or taxing authority
thereof or therein) under whose laws such Borrower is organized or where such
Borrower is domiciled, resident or licensed or otherwise qualified to do
business or where any significant part of the Property of such Borrower is
located.
"LENDER AFFILIATE" shall have the meaning assigned to that
term in Section 2.03(h).
"LIBO RATE" shall mean, for any Interest Period for any LIBO
Rate Loan, the rate for deposits in the relevant Currency with a maturity
comparable to such Interest Period commencing on the first day of such Interest
Period appearing on Page 3750 of the Telerate Service (or on any successor or
substitute page of such Service, or any successor to or substitute for such
Service, providing rate quotations comparable to those currently provided on
such page for such Service, as determined by the Administrative Agent, with
written notice to the Company, from time to time for purposes of providing
quotations of interest rates applicable to such Currency deposits in the London
interbank market) at approximately 11:00 a.m., London time, on the Quotation
Date for such Currency; PROVIDED that the LIBO Rate for any LIBO Rate Loan
denominated in Pounds Sterling for any Interest Period shall be increased by any
Mandatory Costs (but only to the extent applicable to any Lender).
In the event that such rate is not available for any reason,
the LIBO Rate shall mean, with respect to such LIBO Rate Loan for such Interest
Period, the rate at which deposits of $1,000,000 (or, in the case where a LIBO
Rate Loan is a Currency other than Dollars, the Foreign Currency Equivalent
thereof) and for a maturity comparable to such Interest Period are offered by
the Reference Banks to leading banks in the London interbank market as of the
11:00 a.m., London time, on the Quotation Date for such Currency; PROVIDED that
(i) if any Reference Bank is not participating in any borrowing of LIBO Rate
Loans, the LIBO Rate for such Loans shall be determined by reference to the
amount of the Loan which such Reference Bank would have made had it been
participating in such Loans, (ii) in determining the LIBO Rate with respect to
any Competitive LIBOR Loan, each Reference Bank shall be deemed to have made a
Competitive LIBOR Loan in an amount equal to $1,000,000, (iii) each Reference
Bank agrees to use its best efforts to furnish timely information to the
Administrative Agent for purposes of determining the LIBO Rate and (iv) if any
Reference Bank does not furnish such timely information for determination of the
LIBO Rate, the Administrative Agent shall determine such interest rate on the
basis of timely information furnished by the remaining Reference Banks.
"LIBO RATE LOANS" shall mean Committed LIBOR Loans and
Competitive LIBOR Loans.
"LIBOR AUCTION" shall mean a solicitation of Competitive Bids
setting forth Margins based on the Adjusted LIBO Rate pursuant to Section 2.03.
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"LIEN" shall mean, with respect to any asset, any mortgage,
lien, pledge, charge, security interest or encumbrance of any kind in respect of
such asset. For the purposes of this Agreement, the Company or any Subsidiary
shall be deemed to own subject to a Lien any asset which it has acquired or
holds subject to the interest of a vendor or lessor under any conditional sale
agreement, capital lease or other title retention agreement relating to such
asset.
"LOANS" shall mean Committed Loans and Competitive Loans.
"MAJORITY LENDERS" shall mean Lenders having at least 51% of
(i) the aggregate amount of the Commitments and (ii) if the Commitments shall
have been terminated, the aggregate outstanding principal amount of all Loans.
"MANDATORY COST" shall mean, with respect to any Lender, the
cost, if any, imputed to such Lender of compliance with the cash ratio and
special deposit requirements of the Bank of England and/or the banking
supervision or other costs imposed by the Financial Services Authority during
the relevant period, as determined by the Bank of England and/or Financial
Services Authority during such relevant period.
"MARGIN" shall have the meaning assigned to that term in
Section 2.03(c)(ii)(C).
"MATERIAL ADVERSE EFFECT" shall mean a material adverse effect
on (i) the consolidated financial condition, operations, business or prospects
of the Company and its Subsidiaries (taken as a whole), (ii) the ability of the
Company or any Approved Designated Borrower that is a Significant Subsidiary to
perform its obligations under any of the Credit Documents to which it is a party
or (iii) the validity or enforceability of any of the Credit Documents.
"MOODY'S" shall mean ▇▇▇▇▇'▇ Investors Service, Inc. or any
successor thereto.
"▇▇▇▇▇'▇ RATING" shall mean, as of any date, the rating most
recently published by Moody's relating to the unsecured, long-term, senior debt
securities of the Company.
"MULTIEMPLOYER PLAN" shall mean a multiemployer plan as
defined in Section 4001(a)(3) of ERISA.
"NET WORTH" shall mean, at any time, the consolidated
stockholders' equity of the Company and its Subsidiaries determined on a
consolidated basis without duplication in accordance with GAAP.
"NON-STRATEGIC PROPERTY" shall mean Property acquired as part
of the acquisition of a business made after March 31, 2001 that is designated by
resolution of the Board of Directors of the Company adopted no later than six
months after such acquisition as non-strategic Property.
"NOTES" shall mean the promissory notes provided for by
Section 2.09(d).
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"OBLIGOR" shall mean the Company, in its capacity as a
Borrower hereunder and in its capacity as a guarantor of Loans made to any other
Borrower under Section 11, and each other Borrower.
"OTHER CREDIT AGREEMENT" shall mean the Five-Year Credit
Agreement dated as of the date hereof, between the Borrowers, the banks party
thereto and JPMCB, as Administrative Agent.
"PBGC" shall mean the Pension Benefit Guaranty Corporation or
any entity succeeding to any or all its functions under ERISA.
"PARTICIPATING MEMBER STATE" shall mean any member of the
European Union that adopts or has adopted the Euro as its lawful currency in
accordance with the legislation of the European Union relating to the European
Monetary Union.
"PERMITTED SECURITIZATION" shall mean any transaction or
series of transactions that may be entered into by the Company or any of its
Subsidiaries pursuant to which the Company or such Subsidiary, as the case may
be, may sell, convey or otherwise transfer, or grant a security interest in, any
receivables (whether now existing or arising in the future) of the Company or
any of its Subsidiaries and any assets related thereto, including all collateral
securing such receivables, all contracts and all guarantees or other obligations
in respect of such receivables and the proceeds of such receivables; PROVIDED
that (a) there shall be no recourse under such securitization to the Company or
any of its other Subsidiaries other than pursuant to Standard Securitization
Undertakings and (b) the Administrative Agent shall be reasonably satisfied that
the terms of such securitization are in compliance with the terms of this
Agreement.
"PERSON" shall mean an individual, a corporation, a company, a
limited liability company, a voluntary association, a partnership, a trust, an
unincorporated organization or a government or any agency, instrumentality or
political subdivision thereof.
"PLAN" shall mean any employee pension benefit plan (other
than a Multiemployer Plan) which is or was established, sponsored, maintained or
contributed to, by the Company or any ERISA Affiliate and is or was subject to
the provisions of Title IV of ERISA or Section 412 of the Code or Section 302 of
ERISA.
"POST-DEFAULT RATE" shall mean, in respect of any principal of
any Loan or any other amount payable by any Borrower under this Agreement or any
Note which is not paid when due (whether at stated maturity, by acceleration or
otherwise), a rate per annum during the period commencing on the due date until
such amount is paid in full equal to the sum of 2% plus the Base Rate as in
effect from time to time plus the Applicable Margin for Base Rate Loans
(PROVIDED that, if such amount in default is principal of a LIBO Rate Loan or a
Set Rate Loan and the due date is a day other than the last day of the Interest
Period therefor, the "Post-Default Rate" for such principal shall be, for the
period commencing on the due date and ending on the last day of the Interest
Period therefor, 2% above the interest rate for such Loan as provided in Section
3.02 and, thereafter, the rate provided for above in this definition).
"POUNDS STERLING" shall mean lawful money of England.
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"PRIME RATE" shall mean the rate of interest publicly
announced from time to time by JPMCB as its prime rate in effect at the
Principal Office.
"PRINCIPAL OFFICE" shall mean the principal office of JPMCB,
located on the date hereof at ▇▇▇ ▇▇▇▇ ▇▇▇▇▇▇, ▇▇▇ ▇▇▇▇, ▇▇▇ ▇▇▇▇ ▇▇▇▇▇.
"PROPERTY" shall mean any right or interest in or to property
of any kind whatsoever, whether real, personal or mixed and whether tangible or
intangible (including, without limitation, shares of capital stock).
"QUARTERLY DATES" shall mean the last Business Day of each
March, June, September and December, the first of which shall be the first such
day after the Effective Date.
"QUOTATION DATE" shall mean, for any Interest Period, (a) for
any Currency other than Pounds Sterling, the date two Business Days prior to the
commencement of such Interest Period and (b) for Pounds Sterling, the first day
of such Interest Period, PROVIDED that if market practice differs in the
relevant interbank market for any Currency, the "Quotation Date" for such
Currency shall be determined by the Administrative Agent in accordance with
market practice in the relevant interbank market (and if quotations would
normally be given by leading banks in the relevant interbank market on more than
one day, the "Quotation Date" shall be the last of such days).
"RATING" shall mean the ▇▇▇▇▇'▇ Rating, the Standard & Poor's
Rating or the Fitch Rating.
"RATING AGENCY" shall mean Moody's, Standard & Poor's or
Fitch.
"RATING GROUP I" shall mean any two of the following: the
▇▇▇▇▇'▇ Rating is at or above Aa2, the Standard & Poor's Rating is at or above
AA or the Fitch Rating is at or above AA; "RATING GROUP II" shall mean (a) any
two of the following: the ▇▇▇▇▇'▇ Rating is at or above A3, the Standard &
Poor's Rating is at or above A- or the Fitch Rating is at or above A- and (b)
Rating Group I is not in effect; "RATING GROUP III" shall mean (a) any two of
the following: the ▇▇▇▇▇'▇ Rating is at or above Baa1, the Standard & Poor's
Rating is at or above BBB+ or the Fitch Rating is at or above BBB+ and (b)
neither Rating Group I nor Rating Group II is in effect; "RATING GROUP IV" shall
mean (a) any two of the following: the ▇▇▇▇▇'▇ Rating is at or above Baa2, the
Standard & Poor's Rating is at or above BBB or the Fitch Rating is at or above
BBB and (b) neither Rating Group I, Rating Group II nor Rating Group III is in
effect; "RATING GROUP V" shall mean none of Rating Group I, Rating Group II,
Rating Group III and Rating Group IV is in effect; PROVIDED that (i) if at any
time the Company has two or three Ratings falling within two different Rating
Groups that are one Rating Group apart, the relevant Rating Group for purposes
of determining the Applicable Facility Fee Rate, the Applicable Utilization Fee
Rate, the Applicable Margin and the Applicable Term Loan Premium shall be the
Rating Group for the higher of the ▇▇▇▇▇'▇ Rating (if any) or the Standard &
Poor's Rating (if any), (ii) if at any time the Company has two or three Ratings
falling within different Rating Groups that are two or more Rating Groups apart,
the relevant Rating Group for purposes of determining the Applicable Facility
Fee Rate, the Applicable Utilization Fee Rate, the Applicable Margin and the
Applicable Term Loan Premium shall be the Rating Group that is one
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level above the Rating Group for the lower (or the lowest, as the case may be)
of such Ratings and (iii) for this purpose of this proviso, Rating Group I is
higher than Rating Group II, Rating Group II is higher than Rating Group III,
Rating Group III is higher than Rating Group IV and Rating Group IV is higher
than Rating Group V).
"REFERENCE BANKS" shall mean Bank of America, N.A., Bank One,
NA. and JPMCB.
"REGISTER" shall have the meaning assigned to that term in
Section 12.05.
"REGULATION D" shall mean Regulation D of the Board of
Governors of the Federal Reserve System (or any successor), as the same may be
amended or supplemented from time to time.
"REGULATORY CHANGE" shall mean, with respect to any Lender,
any change after the date hereof (or, in the case of any Competitive LIBOR Loan,
the date of the Competitive Bid therefor), in United States Federal, state or
foreign law or regulations (including Regulation D) or the adoption or making
after such date of any interpretations, directives or requests applying to a
class of banks including such Lender of or under any United States Federal,
state or foreign law or regulations (whether or not having the force of law) by
any court or governmental or monetary authority charged with the interpretation
or administration thereof.
"REQUIREMENT OF LAW" shall mean, as to any Person, the
Certificate of Incorporation and By-Laws or other organizational or governing
documents of such Person, and any law, treaty, rule or regulation or
determination of an arbitrator or a court or other Governmental Authority, in
each case applicable to or binding upon such Person or any of its property or to
which such Person or any of its property is subject.
"RESERVE REQUIREMENT" shall mean, for any Interest Period for
any LIBO Rate Loan, the effective maximum rate at which reserves (including any
marginal, supplemental or emergency reserves) are required to be maintained
during such Interest Period under Regulation D by member banks of the Federal
Reserve System in
New York City with deposits exceeding one billion Dollars
against "Eurocurrency liabilities" (as such term is used in Regulation D).
Without limiting the effect of the foregoing, the Reserve Requirement shall
reflect any other reserves required to be maintained by such member banks by
reason of any Regulatory Change against (i) any category of liabilities which
includes deposits by reference to which the LIBO Rate is to be determined or
(ii) any category of extensions of credit or other assets which includes LIBO
Rate Loans.
"SET RATE AUCTION" shall mean a solicitation of Competitive
Bids setting forth Competitive Bid Rates pursuant to Section 2.03.
"SET RATE LOANS" shall mean Competitive Loans the interest
rates on which are determined on the basis of Competitive Bid Rates pursuant to
a Set Rate Auction.
"SIGNIFICANT SUBSIDIARY" shall mean, at any time, any
Subsidiary of the Company if the revenues of such Subsidiary and its
Subsidiaries for the four consecutive fiscal quarters of
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such Subsidiary most recently ended (determined on a consolidated basis without
duplication in accordance with GAAP and whether or not such Person was a
Subsidiary of the Company during all or any part of the fiscal period of the
Company referred to below) exceed an amount equal to 7-1/2% of the revenues of
the Company and its Subsidiaries for the four consecutive fiscal quarters of the
Company most recently ended (determined on a consolidated basis without
duplication in accordance with GAAP and including such Subsidiary and its
Subsidiaries on a pro forma basis if such Subsidiary was not a Subsidiary of the
Company).
"STANDARD & POOR'S" shall mean Standard & Poor's Ratings
Services, or any successor thereto.
"STANDARD AND POOR'S RATING" shall mean, as of any date, the
rating most recently published by Standard & Poor's relating to the unsecured,
long-term, senior debt securities of the Company.
"STANDARD SECURITIZATION UNDERTAKINGS" shall mean
representations, warranties, covenants and indemnities entered into by the
Company or any Subsidiary that are reasonably customary in the non-recourse
securitization of receivables transactions.
"SUBSIDIARY" of any Person shall mean any corporation,
partnership, limited liability company or other entity of which at least a
majority of the outstanding shares of stock or other ownership interests having
by the terms thereof ordinary voting power to elect a majority of the board of
directors or other persons performing similar functions of such corporation,
partnership, limited liability company or other entity (irrespective of whether
or not at the time stock or other ownership interests of any other class or
classes of such corporation, partnership, limited liability company or other
entity shall have or might have voting power by reason of the happening of any
contingency) is at the time directly or indirectly owned or controlled by such
Person and/or one or more of the Subsidiaries of such Person. "WHOLLY-OWNED
SUBSIDIARY" shall mean any such corporation, partnership, limited liability
company or other entity of which all such shares or other ownership interests,
other than directors' qualifying shares or shares held by nominees to satisfy
any requirement as to minimum number of shareholders, are so owned or
controlled.
"SWAP AGREEMENT" shall mean any agreement with respect to any
swap, forward, future or derivative transaction or option or similar agreement
involving, or settled by reference to, one or more rates, currencies,
commodities, equity or debt instruments or securities, or economic, financial or
pricing indices or measures of economic, financial or pricing risk or value or
any similar transaction or any combination of these transactions; PROVIDED that
no phantom stock or similar plan providing for payments only on account of
services provided by current or former directors, officers, employees or
consultants of the Company or any of its Subsidiaries shall be a "Swap
Agreement".
"TARGET DAY" shall mean any day on which the Trans-European
Automated Real-time Gross Settlement Express Transfer payment system (or any
successor settlement system as determined by the Administrative Agent) is open
for settlement of payments in Euros.
"TAXES" shall have the meaning assigned to that term in
Section 5.06(a).
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"TERMINATION LETTER" shall have the meaning assigned to that
term in Section 2.04(a).
"TERM LOAN" shall have the meaning assigned to that term in
Section 2.01(b).
"TOTAL CAPITAL" shall mean the sum of (i) Net Worth plus (ii)
Total Indebtedness.
"TOTAL CONSOLIDATED ASSETS" shall mean, as at any time, the
total of all the assets appearing on a consolidated balance sheet of the Company
and its Subsidiaries determined in accordance with generally accepted accounting
principles applicable to the type of business in which the Company and such
Subsidiaries are engaged, and may be determined as of a date, selected by the
Company, not more than sixty days prior to the happening of the event for which
such determination is being made.
"TOTAL INDEBTEDNESS" shall mean, as at any time, the total
Indebtedness of the Company and its Subsidiaries determined on a consolidated
basis without duplication.
"TYPE" shall have the meaning assigned to that term in Section
1.03.
"WHOLLY-OWNED SUBSIDIARY" shall have the meaning assigned to
that term in the definition of the term "SUBSIDIARY".
1.02 ACCOUNTING TERMS AND DETERMINATIONS.
(a) All accounting terms used herein shall be interpreted,
and, unless otherwise disclosed to the Lenders in writing at the time of
delivery thereof in the manner described in subsection (b) below, all financial
statements and certificates and reports as to financial matters required to be
delivered to the Lenders hereunder shall be prepared, in accordance with
generally accepted accounting principles applied on a basis consistent with
those used in the preparation of the latest financial statements furnished to
the Lenders hereunder after the date hereof (or, until such financial statements
are furnished, consistent with those used in the preparation of the financial
statements referred to in Section 7.02(a)). All calculations made for the
purposes of determining compliance with the terms of Sections 8.07(a)(vi), 8.10
and 8.11 shall, except as otherwise expressly provided herein, be made by
application of generally accepted accounting principles applied on a basis
consistent with those used in the preparation of the annual or quarterly
financial statements furnished to the Lenders pursuant to Section 8.01 (or,
until such financial statements are furnished, consistent with those used in the
preparation of the financial statements referred to in Section 7.02(a)) unless
(i) the Company shall have objected to determining such compliance on such basis
at the time of delivery of such financial statements or (ii) the Majority
Lenders shall so object in writing within 30 days after delivery of such
financial statements, in either of which events such calculations shall be made
on a basis consistent with those used in the preparation of the latest financial
statements as to which such objection shall not have been made (which, if
objection is made in respect of the first financial statements delivered under
Section 8.01, shall mean the financial statements referred to in Section
7.02(a)).
(b) The Company shall deliver to the Lenders at the same time
as the delivery of any annual or quarterly financial statement under Section
8.01 (i) a description in reasonable
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detail of any material variation between the application of accounting
principles employed in the preparation of such statement and the application of
accounting principles employed in the preparation of the next preceding annual
or quarterly financial statements as to which no objection has been made in
accordance with the last sentence of subsection (a) above and (ii) reasonable
estimates of the difference between such statements arising as a consequence
thereof.
(c) To enable the ready and consistent determination of
compliance with the covenants set forth in Section 8, the Company shall not
change the last day of its fiscal year from December 31, or the last days of the
first three fiscal quarters in each of its fiscal years from March 31, June 30
and September 30, respectively.
1.03 TYPES OF LOANS. Loans hereunder are distinguished by
"Type" and by "Currency". The "Type" of a Loan refers to whether such Loan is a
Base Rate Loan, a Committed LIBOR Loan, a Competitive LIBOR Loan or a Set Rate
Loan, each of which constitutes a Type. Loans may be identified by both Type and
Currency.
1.04 TERMS GENERALLY. The definitions of terms herein shall
apply equally to the singular and plural forms of the terms defined. Whenever
the context may require, any pronoun shall include the corresponding masculine,
feminine and neuter forms. The words "include", "includes" and "including" shall
be deemed to be followed by the phrase "without limitation". The word "will"
shall be construed to have the same meaning and effect as the word "shall".
Unless the context requires otherwise (a) any definition of or reference to any
agreement, instrument or other document herein shall be construed as referring
to such agreement, instrument or other document as from time to time amended,
supplemented or otherwise modified (subject to any restrictions on such
amendments, supplements or modifications set forth herein), (b) any reference
herein to any Person shall be construed to include such Person's successors and
assigns, (c) the words "herein", "hereof" and "hereunder", and words of similar
import, shall be construed to refer to this Agreement in its entirety and not to
any particular provision hereof, (d) all references herein to Sections, Annexes,
Exhibits and Schedules shall be construed to refer to Sections of, and Annexes,
Exhibits and Schedules to, this Agreement and (e) the words "asset" and
"property" shall be construed to have the same meaning and effect and to refer
to any and all tangible and intangible assets and properties, including cash,
securities, accounts and contract rights.
1.05. CURRENCIES; CURRENCY EQUIVALENTS; PROVISIONS RELATING TO
EUROPEAN MONETARY UNION. (a) At any time, any reference in the definition of the
term "Alternative Currency" or in any other provision of this Agreement to the
currency of any particular nation means the lawful currency of such nation at
such time whether or not the name of such currency is the same as it was on the
date hereof. For purposes of determining (i) whether the amount of any borrowing
of Loans, together with all other Loans then outstanding or to be borrowed at
the same time as such borrowing, would exceed the aggregate amount of the
Commitments, (ii) the aggregate unutilized amount of the Commitments and (iii)
the aggregate outstanding principal amount of the Loans, the outstanding
principal amount of any Loan that is denominated in any Alternative Currency
shall be deemed to be the Dollar Equivalent of the principal amount of such Loan
determined as of the date of such borrowing or thereafter as of the date such
Loan is Converted or Continued.
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(b) Wherever in this Agreement in connection with any Loan an
amount, such as a required minimum or multiple amount, is expressed in Dollars,
but such Loan is denominated in an Alternative Currency, such amount shall be
the relevant Foreign Currency Equivalent of such Dollar amount (rounded to the
nearest 1,000 units of such Alternative Currency), as determined by the
Administrative Agent.
(c) Each obligation hereunder of any party hereto that is
denominated in the currency of a state that is not a Participating Member State
on the date hereof shall, effective from the date on which such state becomes a
Participating Member State, be redenominated in Euro in accordance with the
legislation of the European Union applicable to the European Monetary Union;
PROVIDED that, if and to the extent that any such legislation provides that any
such obligation of any such party payable within such Participating Member State
by crediting an account of the creditor can be paid by the debtor either in
Euros or such currency, such party shall be entitled to pay or repay such amount
either in Euros or in such currency. If the basis of accrual of interest or fees
expressed in this Agreement with respect to an Alternative Currency of any
country that becomes a Participating Member State after the date on which such
currency becomes an Alternative Currency shall be inconsistent with any
convention or practice in the interbank market for the basis of accrual of
interest or fees in respect of the Euro, such convention or practice shall
replace such expressed basis effective as of and from the date on which such
state becomes a Participating Member State; PROVIDED that, with respect to any
borrowing denominated in such currency that is outstanding immediately prior to
such date, such replacement shall take effect at the end of the Interest Period
therefor. Without prejudice to the respective liabilities of the Company to the
Lenders and the Lenders to the Company under or pursuant to this Agreement, each
provision of this Agreement shall be subject to such reasonable changes of
construction as the Administrative Agent may from time to time reasonably
specify to be necessary or appropriate to reflect the introduction or changeover
to the Euro in any country that becomes a Participating Member State after the
date hereof.
SECTION 2. COMMITMENTS.
2.01 LOANS.
(a) COMMITTED LOANS. Each Lender severally agrees, on the
terms of this Agreement, to make loans to the Company and any Approved
Designated Borrower in Dollars during the period from and including the
Effective Date to and including the Commitment Termination Date in an aggregate
principal amount at any one time outstanding up to but not exceeding the amount
of such Lender's Commitment as then in effect. Subject to the terms of this
Agreement, during such period the Company and the Approved Designated Borrowers
may borrow, repay and reborrow the amount of the Commitments by means of Base
Rate Loans and Committed LIBOR Loans and may Convert Committed Loans of one Type
into Committed Loans of the other Type (as provided in Section 2.10(b)) or
Continue Committed LIBOR Loans (as provided in Section 2.10(b)); PROVIDED that
the aggregate outstanding principal amount of all Committed Loans at any one
time shall not exceed the aggregate amount of the Commitments at such time; and
PROVIDED, FURTHER, that there may be no more than 30 different Interest Periods
for both Committed Loans and Competitive Loans outstanding at the same time (for
which purpose Interest Periods described in different lettered clauses of the
definition of the term "Interest
-18-
Period" shall be deemed to be different Interest Periods even if they are
coterminous).
(b) TERM LOANS. Notwithstanding anything to the contrary
contained in Section 3.01, the Company may, by notice to the Administrative
Agent not later than 11:00 a.m. (
New York City time) three Business Days prior
to the Commitment Termination Date, convert all Committed Loans made to the
Company that are outstanding on the Commitment Termination Date into term loans
in Dollars (such converted loans, each a "TERM LOAN" and collectively, the "TERM
LOANS") which shall mature, and be due and payable, on the date which is the
first anniversary of the Commitment Termination Date (or, if such date is not a
Business Day, the next preceding Business Day); PROVIDED that, both on the date
of such notice and on the Commitment Termination Date, (i) no Default shall have
occurred and be continuing and (ii) the representations and warranties set forth
in Section 7 shall be true and complete with the same force and effect as if
made on and as of the date of such conversion (or, if any such representation or
warranty is stated to have been made as of a specific date, as of such specific
date); and PROVIDED, FURTHER, that after giving effect to such conversion the
Lenders shall have no further obligation to make any additional Loans. Each Term
Loan shall bear interest, until the payment in full thereof, at the rates that
Loans of the same Type bear pursuant to this Agreement and shall otherwise
constitute a Loan for all purposes of this Agreement. The Company hereby
promises to pay to the Administrative Agent for account of the Lenders, on such
maturity date, the unpaid principal amount of all outstanding Term Loans.
2.02 BORROWINGS OF COMMITTED LOANS. The Company (on its own
behalf and on behalf of any other Approved Designated Borrower) shall give the
Administrative Agent (which shall promptly notify the Lenders) notice of each
borrowing hereunder of Committed Loans, which notice shall be irrevocable and
effective only upon receipt by the Administrative Agent, shall specify with
respect to the Committed Loans to be borrowed (i) the aggregate amount to be
borrowed, which shall be at least $1,000,000 in the case of Base Rate Loans and
$5,000,000 in the case of Committed LIBOR Loans (or in either case an integral
multiple of $1,000,000 in excess thereof), (ii) the Type and date (which shall
be a Business Day) and (iii) (in the case of Committed LIBOR Loans) the duration
of the Interest Period therefor, and each such notice shall be given not later
than 11:00 a.m.
New York time on the day which is not less than the number of
Business Days prior to the date of such borrowing specified below opposite the
Type of such Loans:
TYPE NUMBER OF BUSINESS DAYS
---- -----------------------
Base Rate Loans 0
Committed LIBOR Loans 3
Not later than 2:00 p.m.
New York time on the date specified for each
borrowing of Committed Loans hereunder, each Lender shall, subject to Section
4.01(a), make available the amount of the Committed Loan or Loans to be made
by it on such date to the Administrative Agent, at the Administrative Agent's
Account for Dollars in immediately available funds, for account of the
relevant Borrower. The amount so received by the Administrative Agent shall,
subject to the terms and conditions of this Agreement, promptly be made
available to the relevant Borrower by depositing the same, in immediately
available funds, in an account of the relevant Borrower
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designated by the Company.
2.03 COMPETITIVE LOANS.
(a) In addition to borrowings of Committed Loans, the Company
(on its own behalf and on behalf of any other Borrower) may, as set forth in
this Section 2.03, request the Lenders to make offers to make Competitive Loans
to such Borrower in Dollars or in any Alternative Currency. The Lenders may, but
shall have no obligation to, make such offers and such Borrower may, but shall
have no obligation to, accept any such offers in the manner set forth in this
Section 2.03. Competitive Loans may be Competitive LIBOR Loans or Set Rate
Loans, PROVIDED that there may be no more than 30 different Interest Periods for
both Committed Loans and Competitive Loans outstanding at the same time (for
which purpose Interest Periods described in different lettered clauses of the
definition of the term "Interest Period" shall be deemed to be different
Interest Periods even if they are coterminous). Competitive Loans shall not
constitute a utilization of the Commitments.
(b) When any Borrower wishes to request offers to make
Competitive Loans, the Company (on its own behalf and on behalf of any other
Borrower) shall give the Administrative Agent (which shall promptly notify the
Lenders) notice in the form of Exhibit C hereto (a "COMPETITIVE BID REQUEST") so
as to be received no later than 11:00 a.m.
New York time on (x) the fifth
Business Day prior to the date of borrowing proposed therein in the case of a
LIBOR Auction or (y) the Business Day next preceding the date of borrowing
proposed therein, in the case of a Set Rate Auction, specifying:
(i) the name of the Borrower, the Currency of such borrowing
and the proposed date of such borrowing (a "COMPETITIVE BORROWING"),
which shall be a Business Day;
(ii) the aggregate amount of such Competitive Borrowing, which
shall be at least $5,000,000 or, in the case of Competitive Loans in an
Alternative Currency, the Foreign Currency Equivalent thereof, and in
an integral multiple of $1,000,000 in excess thereof (or the Foreign
Currency Equivalent thereof, as applicable);
(iii) the duration of the Interest Period applicable thereto;
and
(iv) whether the Competitive Bids requested are to set forth a
Margin or a Competitive Bid Rate.
The Company (on its own behalf and on behalf of any other
Borrower) may request offers to make Competitive Loans for up to 15 different
Interest Periods in a single Competitive Bid Request; PROVIDED that the request
for each separate Interest Period shall be deemed to be a separate Competitive
Bid Request for a separate Competitive Borrowing. Except as otherwise provided
in the preceding sentence, no Competitive Bid Request shall be given within five
Business Days of any other Competitive Bid Request.
(c) (i) Any Lender may, by notice to the Administrative Agent
in the form of Exhibit D hereto (a "COMPETITIVE BID"), submit an offer to make a
Competitive Loan in response to any Competitive Bid Request; PROVIDED that, if
the request under Section 2.03(b) specified
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more than one Interest Period, such Lender may make a single submission
containing a separate offer for each such Interest Period and each such separate
offer shall be deemed to be a separate Competitive Bid. Each Competitive Bid
must be submitted to the Administrative Agent not later than (x) 2:00 p.m. (or,
in the case of Competitive Loans in an Alternative Currency, 11:00 a.m.)
New
York time on the fourth Business Day prior to the proposed date of borrowing, in
the case of a LIBOR Auction or (y) 11:00 a.m.
New York time on the proposed date
of borrowing, in the case of a Set Rate Auction; PROVIDED that any Competitive
Bid submitted by JPMCB (or its Applicable Lending Office) may be submitted, and
may only be submitted, if JPMCB (or such Applicable Lending Office) notifies the
Company of the terms of the offer contained therein not later than (x) 1:00 p.m.
(or, in the case of Competitive Loans in an Alternative Currency, 10:00 a.m.)
New York time on the fourth Business Day prior to the proposed date of
borrowing, in the case of a LIBOR Auction or (y) 10:45 a.m. New York time on the
proposed date of borrowing, in the case of a Set Rate Auction. Subject to
Sections 5.03 and 9, any Competitive Bid so made shall be irrevocable except
with the written consent of the Administrative Agent given on the instructions
of the Company.
(ii) Each Competitive Bid shall specify:
(A) the name of the Borrower, the Currency of such
borrowing, the proposed date of borrowing and the Interest
Period therefor;
(B) the principal amount of the Competitive Loan for
which each such offer is being made, which principal amount
(x) may be greater than or less than the Commitment of the
quoting Lender, (y) must be at least $1,000,000 or, in the
case of a Competitive Loan in an Alternative Currency, the
Foreign Currency Equivalent thereof, and in an integral
multiple of $1,000,000 (or the Foreign Currency Equivalent
thereof, as applicable), and (z) may not exceed the principal
amount of the Competitive Borrowing for which offers were
requested;
(C) in the case of a LIBOR Auction, the margin above
or below the applicable Adjusted LIBO Rate (the "MARGIN")
offered for each such Competitive Loan, expressed as a
percentage (rounded to the nearest 1/10,000th of 1%) to be
added to or subtracted from the applicable Adjusted LIBO Rate;
(D) in the case of a Set Rate Auction, the rate of
interest per annum (rounded to the nearest 1/10,000th of 1%)
(the "COMPETITIVE BID RATE") offered for each such Competitive
Loan; and
(E) the identity of the quoting Lender.
No Competitive Bid shall contain qualifying, conditional or similar language or
propose terms other than or in addition to those set forth in the applicable
Competitive Bid Request and, in particular, no Competitive Bid may be
conditioned upon acceptance by the Company of all (or some specified minimum) of
the principal amount of the Competitive Loan for which such Competitive Bid is
being made; PROVIDED that the submission of any Lender containing more than one
Competitive Bid may be conditioned on the Company not accepting offers contained
in such submission that would result in such Lender making Competitive Loans
pursuant thereto in
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excess of a specified aggregate amount (the "COMPETITIVE LOAN LIMIT").
(d) The Administrative Agent shall (x) in the case of a Set
Rate Auction, as promptly as practicable after the Competitive Bid is submitted
(but in any event not later than 11:15 a.m. New York time) or (y) in the case of
a LIBOR Auction, by 4:00 p.m. (or, in the case of Competitive Loans in an
Alternative Currency, noon) New York time on the day a Competitive Bid is
submitted, notify the Company (which will promptly notify the relevant Borrower
if it is not the Company) of the terms (i) of any Competitive Bid submitted by a
Lender that is in accordance with Section 2.03(c) and (ii) of any Competitive
Bid that amends, modifies or is otherwise inconsistent with a previous
Competitive Bid submitted by such Lender with respect to the same Competitive
Bid Request. Any such subsequent Competitive Bid shall be disregarded by the
Administrative Agent unless such subsequent Competitive Bid is submitted solely
to correct a manifest error in such former Competitive Bid. The Administrative
Agent's notice to the Company shall specify (A) the aggregate principal amount
of the Competitive Borrowing for which offers have been received and (B) the
respective principal amounts and Margins or Competitive Bid Rates, as the case
may be, so offered by each Lender (identifying the Lender that made each
Competitive Bid).
(e) Not later than (x) 11:00 a.m. New York time on the third
Business Day (or, in the case of Competitive Loans in an Alternative Currency,
2:00 p.m. New York time on the fourth Business Day) prior to the proposed date
of borrowing, in the case of a LIBOR Auction or (y) 12:00 p.m. noon New York
time on the proposed date of borrowing, in the case of a Set Rate Auction, the
Company shall notify the Administrative Agent of its or the relevant Borrower's,
if the Borrower is not the Company, acceptance or nonacceptance of the offers so
notified to the Company pursuant to Section 2.03(d) (which notice shall specify
the aggregate principal amount of offers from each Lender for each Interest
Period that are accepted; and the failure of the Company to give such notice by
such time shall constitute non-acceptance) and the Administrative Agent shall
promptly notify each affected Lender of the acceptance or non-acceptance of its
offers. The notice by the Administrative Agent shall also specify the aggregate
principal amount of offers for each Interest Period that were accepted. The
Company (on its own behalf and on behalf of any other Borrower) may accept any
Competitive Bid in whole or in part (PROVIDED that any Competitive Bid accepted
in part from any Lender shall be in an integral multiple of $1,000,000 or, in
the case of a Competitive Loan in an Alternative Currency, the Foreign Currency
Equivalent thereof (rounded to the nearest 1,000 units of such Alternative
Currency)); PROVIDED that:
(i) the aggregate principal amount of each Competitive
Borrowing may not exceed the applicable amount set forth in the related
Competitive Bid Request;
(ii) the aggregate principal amount of each Competitive
Borrowing shall be at least $5,000,000 or, in the case of a borrowing
of Competitive Loans in an Alternative Currency, the Foreign Currency
Equivalent thereof, and in an integral multiple of $1,000,000 in excess
thereof (or the Foreign Currency Equivalent thereof, as applicable);
(iii) acceptance of offers may, subject to clause (v) below,
only be made in ascending order of Margins or Competitive Bid Rates, as
the case may be; PROVIDED that
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the Company need not accept on behalf of any Designated Borrower the
offer of any Lender if payment of the interest on the relevant
Competitive Loan would subject such Designated Borrower to the
requirement of paying any additional amounts under Section 5.06(a) or
if such interest payment would be subject to greater restrictions on
deductibility for income tax purposes than the restriction applicable
to interest payments made to other Lenders whose offers are accepted;
(iv) the Company (on its own behalf and on behalf of any other
Borrower) may not accept any offer where the Administrative Agent has
advised the Company that such offer fails to comply with Section
2.03(c)(ii) or otherwise fails to comply with the requirements of this
Agreement (including, without limitation, Section 2.03(a)); and
(v) the aggregate principal amount of each Competitive
Borrowing from any Lender may not exceed any applicable Competitive
Loan Limit of such Lender.
If offers are made by two or more Lenders with the same Margins or Competitive
Bid Rates, as the case may be, for a greater aggregate principal amount than the
amount in respect of which offers are accepted for the related Interest Period,
the principal amount of Competitive Loans in respect of which such offers are
accepted shall be allocated by the Company among such Lenders as nearly as
possible (in an integral multiple of $1,000,000 or, in the case of a borrowing
of Competitive Loans in an Alternative Currency, the Foreign Currency Equivalent
thereof) in proportion to the aggregate principal amount of such offers.
Determinations by the Company of the amounts of Competitive Loans shall be
conclusive in the absence of manifest error.
(f) Any Lender whose offer to make any Competitive Loan has
been accepted in accordance with the terms and conditions of this Section 2.03
shall, not later than 2:00 p.m. New York time (in the case of Loans denominated
in Dollars) or 11:00 a.m. local time in the location of the Administrative
Agent's Account (in the case of Loans denominated in an Alternative Currency) on
the date specified for the making of such Loan, make the amount of such Loan
available to the Administrative Agent at the Administrative Agent's Account for
the Currency of such Loan in immediately available funds. The amount so received
by the Administrative Agent shall, subject to the terms and conditions of this
Agreement, promptly be made available to the relevant Borrower on such date by
depositing the same, in immediately available funds, in an account of the
relevant Borrower designated by the Company.
(g) The amount of any Competitive Loan made by any Lender
shall not constitute a utilization of such Lender's Commitment.
(h) Subject to the terms and conditions of this Agreement,
each Foreign Subsidiary that is a Designated Borrower agrees that any
Competitive Loan to be made hereunder by any Lender that has an Affiliate (a
"LENDER AFFILIATE") in such Designated Borrower's Jurisdiction may be satisfied
by such Lender Affiliate at its sole discretion (such Loans are hereinafter
referred to as "COMPETITIVE AFFILIATE LOANS"). The Company and each Designated
Borrower hereby acknowledge and agree that any Lender Affiliate that makes a
Competitive Affiliate Loan shall have made such Loan in reliance upon, and shall
be entitled to
-23-
the benefits of, this Agreement (including, without limitation, Section 11) and
shall be entitled to enforce rights hereunder in respect of such Loan as fully
as though it were a Lender party hereto.
2.04 BORROWINGS BY DESIGNATED BORROWERS.
(a) The Company may, at any time or from time to time,
designate one or more Wholly-Owned Subsidiaries as Borrowers hereunder by
furnishing to the Administrative Agent a letter (a "DESIGNATION LETTER") in
duplicate, substantially in the form of Exhibit E-1 hereto, duly completed and
executed by the Company and such Subsidiary. Any such designation of a Foreign
Subsidiary shall, and any such designation of a Domestic Subsidiary may,
restrict such Wholly-Owned Subsidiary to Competitive Loans, as set forth in the
relevant Designation Letter. Upon any such designation of a Subsidiary, such
Subsidiary shall be a Borrower entitled to borrow Competitive Loans only; and
upon approval by all of the Lenders (which approval shall not be unreasonably
withheld) of any Domestic Subsidiary as an Approved Designated Borrower (which
approval shall be evidenced by the Administrative Agent signing and returning to
the Company a copy of such Designation Letter) such Domestic Subsidiary shall be
an Approved Designated Borrower entitled to borrow both Committed Loans and
Competitive Loans. So long as all principal and interest on all Loans of any
Borrower (other than the Company) hereunder have been paid in full, the Company
may terminate the status of such Borrower as a Borrower hereunder by furnishing
to the Administrative Agent a letter (a "TERMINATION LETTER"), substantially in
the form of Exhibit E-2 hereto, duly completed and executed by the Company and
such Borrower. Any Termination Letter furnished in accordance with this Section
2.04 shall be effective upon receipt by the Administrative Agent (which shall
promptly notify the Lenders), whereupon the Lenders shall promptly deliver to
the Company (through the Administrative Agent) the Notes, if any, of such former
Borrower. Notwithstanding the foregoing, the delivery of a Termination Letter
with respect to any Borrower shall not terminate any obligation of such Borrower
theretofore incurred (including, without limitation, obligations under Sections
5.01, 5.05 and 5.06) or the obligations of the Company under Section 11 with
respect thereto.
(b) No Designation Letter with respect to an Approved
Designated Borrower may be amended, supplemented or otherwise modified without
the approval of the Majority Lenders.
2.05 CHANGES OF COMMITMENTS.
(a) Unless theretofore reduced to such amount pursuant to
paragraphs (b) and (c) below, the aggregate amount of the Commitments shall
automatically be reduced to zero on the Commitment Termination Date.
(b) The Company shall have the right to terminate or reduce
permanently the amount of the Commitments at any time or from time to time upon
not less than three Business Days' prior notice to the Administrative Agent
(which shall promptly notify the Lenders) of each such termination or reduction,
which notice shall specify the effective date thereof and the amount of any such
reduction (which shall be in an integral multiple of $5,000,000) and shall be
irrevocable and effective only upon receipt by the Administrative Agent;
PROVIDED that the Company may not at any time (i) terminate the Commitments in
whole if Committed Loans are then outstanding or (ii) reduce the aggregate
amount of the Commitments below the aggregate
-24-
outstanding principal amount of the Committed Loans.
(c) The Commitments once terminated or reduced may not be
reinstated.
(d) (i) REQUESTS FOR INCREASE BY COMPANY. The Company may at
any time (but in no event more frequently that once during any three month
period) propose that the aggregate amount of the Commitments hereunder be
increased (each such proposed increase being a "COMMITMENT INCREASE"), by notice
to the Administrative Agent specifying the name of the Person or Persons that
will provide additional Commitments (which may be either an existing Lender
(each an "INCREASING LENDER") and/or any Person not then a Lender (each an
"ASSUMING LENDER")) and the date on which such increase is to be effective (the
"COMMITMENT INCREASE DATE"), which shall be a Business Day at least three
Business Days after delivery of such notice and prior to the Commitment
Termination Date; PROVIDED that:
(A) immediately after giving effect to such
Commitment Increase, the aggregate amount of the Commitments
hereunder and the commitments under the Other Credit Agreement
shall not exceed $1,500,000,000;
(B) each proposed Commitment Increase hereunder,
together with any proposed commitment increase to be effected
simultaneously under the Other Credit Agreement, shall be in
an aggregate minimum amount of $50,000,000, PROVIDED that the
minimum amount of the Commitment of any Assuming Lender as
part of such Commitment Increase shall be at least
$10,000,000;
(C) no Default shall have occurred and be continuing
on such Commitment Increase Date or shall result from the
proposed Commitment Increase;
(D) the representations and warranties contained in
Section 7 shall be correct on and as of the Commitment
Increase Date as if made on and as of such date (or, if any
such representation or warranty is expressly stated to have
been made as of a specific date, as of such specific date);
and
(E) immediately after giving effect to such
Commitment Increase, no Lender shall hold more than 20% of the
aggregate amount of the Commitments.
(ii) EFFECTIVENESS OF COMMITMENT INCREASE BY COMPANY. The
Assuming Lender, if any, shall become a Lender hereunder as of such
Commitment Increase Date and the Commitment of such Assuming Lender
and/or the increase in the Commitment of any Increasing Lender shall
become effective as of such Commitment Increase Date; PROVIDED that:
(A) the Administrative Agent shall have received on
or prior to 9:00 a.m., New York City time, on such Commitment
Increase Date a certificate of a duly authorized officer of
the Company stating that each of the applicable conditions to
such Commitment Increase set forth in this Section 2.05(d) has
been satisfied;
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(B) with respect to each Assuming Lender, the
Administrative Agent shall have received, on or prior to 9:00
a.m., New York City time, on such Commitment Increase Date, an
appropriate Assumption Agreement in substantially the form of
Exhibit G, duly executed by such Assuming Lender and the
Company and acknowledged by the Administrative Agent; and
(C) each Increasing Lender shall have delivered to
the Administrative Agent, on or prior to 9:00 a.m., New York
City time, on such Commitment Increase Date, confirmation in
writing satisfactory to the Administrative Agent as to its
increased Commitment, with a copy of such confirmation to the
Company.
(iii) RECORDATION INTO REGISTER. Upon its receipt of
confirmation from a Lender that it is increasing its Commitment
hereunder, together with the certificate referred to in clause (ii)(A)
above, the Administrative Agent shall (A) record the information
contained therein in the Register and (B) give prompt notice thereof to
the Company. Upon its receipt of an Assumption Agreement executed by an
Assuming Lender, together with the certificate referred to in clause
(ii)(A) above, the Administrative Agent shall, if such Assumption
Agreement has been completed and is in substantially the form of
Exhibit G, (c) accept such Assumption Agreement, (y) record the
information contained therein in the Register and (z) give prompt
notice thereof to the Company.
(iv) ADJUSTMENTS OF BORROWINGS UPON EFFECTIVENESS OF INCREASE.
In the event that the Administrative Agent shall have received notice
from the Company as to any agreement with respect to a Commitment
Increase on or prior to the Commitment Increase Date and the actions
provided for in clause (ii) above shall have occurred by 9:00 a.m., New
York City time, on such Commitment Increase Date, the Administrative
Agent shall notify the Lenders (including any Assuming Lenders) of the
occurrence of such Commitment Increase Date promptly on such date by
facsimile transmission or electronic messaging system. On the date of
such Commitment Increase, the Company shall (A) prepay the outstanding
Committed Loans (if any) in full, (B) simultaneously borrow new
Committed Loans hereunder in an amount equal to such prepayment, so
that, after giving effect thereto, the Committed Loans are held ratably
by the Lenders in accordance with their respective Commitments of such
Lenders (after giving effect to such Commitment Increase) and (C) pay
to the Lenders the amounts, if any, payable under Section 5.05.
2.06 FEES.
(a) FACILITY FEE. The Company agrees to pay to the
Administrative Agent for account of each Lender a facility fee on the amount of
such Lender's Commitment (whether or not utilized) for the period from and
including the date hereof to but not including the earlier of the date such
Commitment is terminated and the Commitment Termination Date, at a rate per
annum equal to the Applicable Facility Fee Rate; PROVIDED that, if such Lender
continues to have Loans outstanding after the termination of its Commitment
(including, without limitation, as a
-26-
result of the conversion of Committed Loans pursuant to Section 2.01(b)), then
such facility fee shall continue to accrue on the aggregate daily amount of such
Lender's Loans from and including the date its Commitment terminates to but
excluding the date such Loans are paid in full. Accrued facility fees shall be
payable on each Quarterly Date in arrears and on (i) if no conversion of Loans
is effected pursuant to Section 2.01(b) and no Loans are otherwise outstanding
thereafter, the earlier of the date the Commitments are terminated and the
Commitment Termination Date or (ii) if such conversion is effected or any Loans
are otherwise outstanding after the earlier of the date the Commitments are
terminated and the Commitment Termination Date, the maturity date of the Term
Loans as specified in Section 2.01(b) (in the case of Term Loans) or the date
such Loans are paid in full (in the case of any other Loans).
(b) UTILIZATION FEE. The Company agrees to pay to the
Administrative Agent for account of each Lender a utilization fee, for each day
until the Loans are paid in full that the aggregate principal amount of the
Loans (including the Term Loans but excluding Competitive Loans) shall exceed
50% of the aggregate Commitments (or at any time following the conversion of
Committed Loans to Term Loans pursuant to Section 2.01(b) or the termination of
the Commitments for any other reason, the aggregate Commitments in effect
immediately prior to such conversion or termination, as the case may be), at a
rate per annum equal to the Applicable Utilization Fee Rate of the aggregate
outstanding principal amount of such Lender's Loans for such day. Accrued
utilization fees (if any) shall be payable on each date facility fees are
payable.
2.07 LENDING OFFICES. The Loans of each Type and Currency made
by each Lender shall be made and maintained at such Lender's Applicable Lending
Office for Loans of such Type and Currency.
2.08 SEVERAL OBLIGATIONS; REMEDIES INDEPENDENT. The failure of
any Lender to make any Loan to be made by it on the date specified therefor
shall not relieve any other Lender of its obligation to make its Loan on such
date, and no Lender shall be responsible for the failure of any other Lender to
make a Loan to be made by such other Lender. The amounts payable by any Borrower
at any time hereunder and under its Notes to each Lender shall be a separate and
independent debt and each Lender shall be entitled to protect and enforce its
rights arising out of this Agreement and the Notes, and it shall not be
necessary for any other Lender or the Administrative Agent to consent to, or be
joined as an additional party in, any proceedings for such purposes.
2.09 EVIDENCE OF DEBT.
(a) Each Lender shall maintain in accordance with its usual
practice an account or accounts evidencing the indebtedness of each Borrower to
such Lender resulting from each Loan made by such Lender, including the amounts
of principal and interest payable and paid to such Lender from time to time
hereunder.
(b) The Administrative Agent shall maintain accounts in which
it shall record (i) the date, amount, maturity date and interest rate of each
Loan made hereunder, the Type and Currency thereof and the Interest Period (if
any) applicable thereto, (ii) the amount of any
-27-
principal or interest due and payable or to become due and payable from each
Borrower to each Lender hereunder and (iii) the amount of any sum received by
the Administrative Agent hereunder for the account of the Lenders and each
Lender's share thereof.
(c) The entries made in the accounts maintained pursuant to
clause (a) or (b) of this Section 2.09 shall be prima facie evidence of the
existence and amounts of the obligations recorded therein; PROVIDED that the
failure of any Lender or the Administrative Agent to maintain such accounts or
any error therein shall not in any manner affect the obligation of the Borrowers
to repay the Loans in accordance with the terms of this Agreement.
(d) Any Lender may request that Loans made by it to any
Borrower be evidenced by a promissory note of the appropriate Borrower. In such
event, the appropriate Borrower shall prepare, execute and deliver to such
Lender one or more promissory notes payable to the order of such Lender and in a
form approved by the Administrative Agent.
2.10 PREPAYMENTS; CONVERSIONS AND CONTINUATIONS.
(a) Loans may be prepaid without premium or penalty upon not
less than (a) (in the case of Base Rate Loans) one Business Day's, and (b) (in
the case of LIBOR Loans) three Business Days', prior notice to the
Administrative Agent (which shall promptly notify the Lenders), which notice
shall specify the prepayment date (which shall be a Business Day) and the amount
of the prepayment (which, in the case of partial prepayments, shall be in an
integral multiple of $1,000,000) and shall be irrevocable and effective only
upon receipt by the Administrative Agent not later than 11:00 a.m. New York time
on the number of Business Days specified above prior to the relevant date of
prepayment, PROVIDED that interest on the principal of any Loans prepaid,
accrued to the prepayment date, shall be paid on the prepayment date.
(b) The Company (on its own behalf and on behalf of any other
Approved Designated Borrower) shall have the right to Convert Committed Loans of
one Type into Committed Loans of another Type or Continue Committed LIBOR Loans
as such at any time or from time to time, upon not less than (i) (in the case of
any Conversion into Base Rate Loans) one Business Day's, and (b) (in the case of
any Conversion into, or Continuation as, LIBO Rate Loans), three Business Days',
prior notice to the Administrative Agent (which shall promptly notify the
Lenders), which notice shall specify the amount (which shall be in an integral
multiple of $1,000,000) and Type of each Committed Loan to be Converted or
Continued (and, in the case of a Conversion, the Type of Loan to result from
such Conversion), the duration of the Interest Period for any LIBO Rate Loans to
be Continued or to result from such Conversion, and the date of Conversion or
Continuation (which shall be a Business Day) and shall be irrevocable and
effective only upon receipt by the Administrative Agent not later than 11:00
a.m. New York time on the number of Business Days specified above prior to the
relevant date of Conversion or Continuation. In the event that the Company fails
to select the Type of Loan or the duration of any Interest Period for any LIBO
Rate Loan, within the time period specified above, such Loan (if outstanding as
a LIBO Rate Loan) will be automatically Converted into a Base Rate Loan on the
last day of the then current Interest Period for such Loan or (if outstanding as
a Base Rate Loan) will remain as, or (if not then outstanding) will be made as,
a Base Rate Loan.
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SECTION 3. PAYMENTS OF PRINCIPAL AND INTEREST.
3.01 REPAYMENT OF LOANS.
(a) Each Borrower hereby promises to pay to the Administrative
Agent for account of each Lender the principal amount of each Committed Loan
made by such Lender to such Borrower in the Currency of such Committed Loan, and
each Committed Loan shall mature, on the Commitment Termination Date.
(b) Each Borrower hereby promises to pay to the Administrative
Agent for account of each Lender the principal amount of each Competitive Loan
made by such Lender to such Borrower in the Currency of such Competitive Loan,
and each Competitive Loan shall mature, on the last day of the Interest Period
therefor.
3.02 INTEREST.
(a) Each Borrower hereby promises to pay to the Administrative
Agent for account of each Lender interest on the unpaid principal amount of each
Loan made by such Lender to such Borrower, in the Currency of such Loan, for the
period commencing on the date of such Loan to but excluding the date such Loan
shall be paid in full, at the following rates per annum:
(i) during such period as such Loan is a Base Rate Loan, the
Base Rate (as in effect from time to time) plus (in the case of Term
Loans) the Applicable Term Loan Premium;
(ii) during such period as such Loan is a Committed LIBOR
Loan, for each Interest Period relating thereto, the Adjusted LIBO Rate
for such Loan for such Interest Period plus the sum of (A) the
Applicable Margin and (B) (in the case of Term Loans) the Applicable
Term Loan Premium;
(iii) if such Loan is a Competitive LIBOR Loan, the Adjusted
LIBO Rate for such Loan for the Interest Period therefor plus (or
minus) the Margin quoted by the Lender making such Loan in accordance
with Section 2.03; and
(iv) if such Loan is a Set Rate Loan, the Competitive Bid Rate
for such Loan for the Interest Period therefor quoted by the Lender
making such Loan in accordance with Section 2.03.
Notwithstanding the foregoing, each Borrower hereby promises to pay to the
Administrative Agent for account of each Lender interest at the applicable
Post-Default Rate on any principal of any Loan made by such Lender to such
Borrower, and (to the fullest extent permitted by law) on any other amount
payable by such Borrower hereunder or under the Note of such Borrower held by
such Lender to or for account of such Lender, which shall not be paid in full
when due (whether at stated maturity, by acceleration or otherwise), for the
period commencing on the due date thereof until the same is paid in full.
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(b) Accrued interest on each Loan shall be payable (i) (in the
case of a Base Rate Loan) quarterly on the Quarterly Dates, (ii) in the case of
a LIBOR Rate Loan, on the last day of each Interest Period therefor and, if such
Interest Period is longer than three months, at three-month intervals following
the first day of such Interest Period and (iii) (in the case of any Committed
LIBOR Loan Converted into a Base Rate Loan pursuant to Section 2.10(b)) on the
date of Conversion (but only on the principal amount so Converted), except that
interest payable at the Post-Default Rate shall be payable from time to time on
demand.
(c) Promptly after the determination of any Adjusted LIBO Rate
provided for herein, the Administrative Agent shall (i) notify the Lenders to
which interest at such Adjusted LIBO Rate is payable and the Company thereof and
(ii) at the request of the Company, furnish to the Company a copy of Page 3750
of the Telerate Service (or such successor or substitute page of such Service,
or any successor to or substitute for such service, providing rate quotations
comparable to those currently provided on such page for such Service) on the
basis of which the relevant LIBO Rate was determined. At any time that the
Administrative Agent determines the Adjusted LIBO Rate on a basis other than
using Page 3750 of the Telerate Service, the Administrative Agent shall promptly
notify the Company.
3.03 REDENOMINATION. Anything in Section 3.01 or 3.02 to the
contrary notwithstanding, if any Borrower shall fail to pay any principal or
interest denominated in any Alternative Currency on the original due date
therefor (without giving effect to any acceleration under Section 9), the amount
so in default shall automatically be redenominated in Dollars on such original
due date therefor in an amount equal to the Dollar Equivalent therefor.
SECTION 4. PAYMENTS; PRO RATA TREATMENT; COMPUTATIONS; ETC.
4.01 PAYMENTS.
(a) Except to the extent otherwise provided herein, all
payments of principal of and interest on Loans made in Dollars, and other
amounts (other than the principal of and interest on Loans made in an
Alternative Currency) payable by any Obligor under this Agreement and the Notes,
shall be made in Dollars, and all payments of principal of and interest on Loans
made in an Alternative Currency shall (except as otherwise provided in Section
3.03) be made in such Alternative Currency, in immediately available funds,
without deduction, set-off or counterclaim, to the Administrative Agent's
Account for such Currency, for account of the Lenders, not later than 2:00 p.m.
New York time (in the case of Loans denominated in Dollars) or 11:00 a.m. local
time in the location of the Administrative Agent's Account (in the case of Loans
denominated in an Alternative Currency), on the date on which such payment shall
become due (each such payment made after such time on such due date to be deemed
to have been made on the next succeeding Business Day).
(b) If any Borrower shall default in the payment when due of
any principal, interest or other amounts to be made by such Borrower under this
Agreement or the Notes, any Lender for whose account any such payment is to be
made may (but shall not be obligated to) debit the amount of any such payment
due such Lender which is not made by such time to any
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ordinary deposit account of such Borrower with such Lender (with notice to the
Company and the Administrative Agent).
(c) The Company on its behalf and on behalf of any other
Borrower shall, at the time of making each payment under this Agreement or any
Note for account of any Lender, specify to the Administrative Agent the Loans or
other amounts payable by such Borrower hereunder to which such payment is to be
applied (and in the event that the payor fails to so specify, or if an Event of
Default has occurred and is continuing, such Lender may apply such payment
received by it from the Administrative Agent to such amounts then due and owing
to such Lender as such Lender may determine).
(d) Each payment received by the Administrative Agent under
this Agreement or any Note for account of any Lender shall be paid promptly to
such Lender, in immediately available funds.
(e) If the due date of any payment under this Agreement or any
Note would otherwise fall on a day which is not a Business Day such date shall
be extended to the next succeeding Business Day and interest shall be payable
for any principal so extended for the period of such extension.
4.02 PRO RATA TREATMENT. Except to the extent otherwise
provided herein: (a) each borrowing from the Lenders of Committed Loans and the
Term Loans under Section 2.01 shall be made from the Lenders, each payment of
fees under Section 2.06 shall be made for account of the Lenders, and each
reduction of the amount or termination of the Commitments under Section 2.05
shall be applied to the Commitments of the Lenders, pro rata according to the
amounts of their respective Commitments, and the Conversion or Continuation of
Committed Loans of a particular Type (other than Conversions provided for by
Section 5.04) shall be made pro rata among the relevant Lenders according to
their respective Commitments; (b) each payment of principal of Committed Loans
and the Term Loans by any Borrower shall be made for account of the Lenders pro
rata in accordance with the respective unpaid principal amounts of the Committed
Loans or the Term Loans, as the case may be, held by the Lenders; and (c) each
payment of interest on Committed Loans and the Term Loans by any Borrower shall
be made for account of the Lenders pro rata in accordance with the amounts of
interest due and payable to the respective Lenders; PROVIDED that, if an Event
of Default shall have occurred and be continuing, each payment of principal of
and interest on the Loans and other amounts owing hereunder by any Borrower
shall be made for account of the Lenders pro rata in accordance with the
aggregate amounts of all principal of and interest on the Loans and all other
amounts owing hereunder by such Borrower then due and payable to the respective
Lenders.
4.03 COMPUTATIONS. Interest on Loans and the fees payable
pursuant to Section 2.06 shall be computed on the basis of a year of 360 days
and actual days elapsed (including the first day but excluding the last day)
occurring in the period for which payable; PROVIDED that interest on Base Rate
Loans and Loans in Pounds Sterling shall be computed on the basis of a year of
365 or 366 days, as the case may be, and actual days elapsed (including the
first day but excluding the last day) occurring in the period for which payable.
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4.04 NON-RECEIPT OF FUNDS BY THE ADMINISTRATIVE AGENT. Unless
the Administrative Agent shall have been notified by a Lender or the Company on
behalf of any Borrower (each, a "PAYOR") prior to the time by, and on the date
on, which such Payor is scheduled to make payment to the Administrative Agent of
(in the case of a Lender) the proceeds of a Loan to be made by it hereunder or
(in the case of any Borrower) a payment to the Administrative Agent for account
of one or more of the Lenders hereunder (such payment being herein called the
"REQUIRED PAYMENT"), which notice shall be effective upon receipt, that it does
not intend to make the Required Payment to the Administrative Agent, the
Administrative Agent may assume that the Required Payment has been made and may,
in reliance upon such assumption (but shall not be required to), make the amount
thereof available to the intended recipient(s) on such date; and, if the Payor
has not in fact made the Required Payment to the Administrative Agent, the
recipient(s) of such payment shall, on demand, repay to the Administrative Agent
the amount so made available together with interest thereon in respect of each
day during the period commencing on the date such amount was so made available
by the Administrative Agent to but not including the date the Administrative
Agent recovers such amount (the "ADVANCE PERIOD") at a rate per annum equal to
(a) if the recipient is a Borrower, the Base Rate in effect on such day and (b)
if the recipient is a Lender, the Federal Funds Rate in effect on such day; and,
if such recipient(s) shall fail promptly to make such payment, the
Administrative Agent shall be entitled to recover such amount, on demand, from
the Payor, together with interest thereon for each day during the Advance Period
at a rate per annum equal to (i) if the Payor is a Borrower, the rate of
interest payable on the Required Payment as provided in the second sentence of
Section 3.02(a) and (ii) if the Payor is a Lender, during the period commencing
on the date such amount was so made available to but excluding the date three
Business Days following such date, the Federal Funds Rate in effect on such day
and, thereafter, the Base Rate in effect on such day.
4.05 SET-OFF; SHARING OF PAYMENTS.
(a) Each Obligor agrees that, in addition to (and without
limitation of) any right of set-off, bankers' lien or counterclaim a Lender may
otherwise have, each Lender shall be entitled, at its option, to offset balances
held by it for account of such Obligor at any of its offices, in Dollars or in
any other Currency, against any principal of or interest on any of such Lender's
Loans which is not paid when due (regardless of whether such balances are then
due to such Obligor) in which case it shall promptly notify such Obligor
(through notice to the Company) and the Administrative Agent thereof, PROVIDED
that such Lender's failure to give such notice shall not affect the validity
thereof.
(b) If any Lender shall obtain payment of any principal of or
interest on any Committed Loan made by it under this Agreement through the
exercise of any right of set-off, bankers' lien or counterclaim or similar right
or otherwise, and, as a result of such payment, such Lender shall have received
a greater percentage of the amounts then due hereunder to such Lender in respect
of Committed Loans than the percentage received by any other Lenders, it shall
promptly purchase from such other Lenders participations in (or, if and to the
extent specified by such Lender, direct interests in) the Committed Loans made
by such other Lenders (or in the interest thereon, as the case may be) in such
amounts, and make such other adjustments from time to time as shall be
equitable, to the end that all the Lenders shall share the benefit of
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such excess payment (net of any expenses which may be incurred by such Lender in
obtaining or preserving such excess payment) pro rata in accordance with the
unpaid principal and interest on the Committed Loans held by each of the
Lenders. To such end all the Lenders shall make appropriate adjustments among
themselves (by the resale of participations sold or otherwise) if such payment
is rescinded or must otherwise be restored. Each Obligor agrees that any Lender
so purchasing a participation (or direct interest) in the Committed Loans made
by other Lenders (or in the interest thereon, as the case may be) may exercise
all rights of set-off, bankers' lien, counterclaim or similar rights with
respect to such participation as fully as if such Lender were a direct holder of
Loans (or in the interest thereon, as the case may be) in the amount of such
participation. Nothing contained herein shall require any Lender to exercise any
such right or shall affect the right of any Lender to exercise, and retain the
benefits of exercising, any such right with respect to any other indebtedness or
obligation of any Obligor. If under any applicable bankruptcy, insolvency or
other similar law, any Lender receives a secured claim in lieu of a set-off to
which this Section 4.05 applies, such Lender shall, to the extent practicable,
exercise its rights in respect of such secured claim in a manner consistent with
the rights of the Lenders entitled under this Section 4.05 to share in the
benefits of any recovery on such secured claim.
SECTION 5. YIELD PROTECTION AND ILLEGALITY.
5.01 ADDITIONAL COSTS.
(a) Each Borrower shall pay directly to each Lender from time
to time such amounts as such Lender may determine to be necessary to compensate
such Lender for any costs that such Lender determines are attributable to its
making or maintaining of any LIBO Rate Loans or Set Rate Loans or its obligation
to make any LIBO Rate Loans hereunder, or any reduction in any amount receivable
by such Lender hereunder in respect of any of such Loans or such obligation
(such increases in costs and reductions in amounts receivable being herein
called "ADDITIONAL COSTS"), resulting from any Regulatory Change that:
(i) changes the basis of taxation of any amounts payable to
such Lender under this Agreement or its Notes in respect of any of such
Loans (other than taxes imposed on or measured by the overall net
income of such Lender or of its Applicable Lending Office for any of
such Loans by the jurisdiction in which such Lender has its principal
office or such Applicable Lending Office); or
(ii) imposes or modifies any reserve, special deposit or
similar requirements (other than the Reserve Requirement utilized in
the determination of the Adjusted LIBO Rate for such Loan and Mandatory
Costs utilized in the determination of the LIBO Rate for such Loan)
relating to any extensions of credit or other assets of, or any
deposits with or other liabilities of, such Lender (including, without
limitation, any of such Loans or any deposits referred to in the
definition of "LIBO Rate" in Section 1.01), or any commitment of such
Lender (including, without limitation, the Commitment of such Lender
hereunder); or
(iii) imposes any other condition affecting this Agreement or
its Notes (or any of such extensions of credit or liabilities) or its
Commitment.
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If any Lender requests compensation from any Borrower under this Section
5.01(a), the Company may, by notice to such Lender (with a copy to the
Administrative Agent), suspend the obligation of such Lender thereafter to make
or Continue LIBO Rate Loans or to Convert Base Rate Loans into LIBO Rate Loans,
until the Regulatory Change giving rise to such request ceases to be in effect
(in which case the provisions of Section 5.04 shall be applicable), PROVIDED
that such suspension shall not affect the right of such Lender to receive the
compensation so requested.
(b) Without limiting the effect of the foregoing provisions of
this Section 5.01 (but without duplication), if any Lender determines that any
Regulatory Change regarding capital requirements has or would have the effect of
reducing the rate of return on such Lender's capital or on the capital of such
Lender's holding company, if any, as a consequence of this Agreement or the
Loans made by such Lender to a level below that which such Lender or such
Lender's holding company could have achieved but for such Regulatory Change
(taking into consideration such Lender's policies and the policies of such
Lender's holding company with respect to capital adequacy), then from time to
time the Company will pay to such Lender such additional amount or amounts as
will compensate such Lender or such Lender's holding company for any such
reduction suffered.
(c) Each Lender shall notify the Company of any event
occurring after the date hereof entitling such Lender to compensation under
paragraph (a) or (b) of this Section 5.01 as promptly as practicable, but in any
event within 45 days, after such Lender obtains actual knowledge thereof. If any
Lender fails to give such notice within 45 days after it obtains actual
knowledge of such an event, such Lender shall, with respect to compensation
payable pursuant to this Section 5.01 in respect of any costs resulting from
such event, only be entitled to payment under this Section 5.01 for costs
incurred from and after the date 45 days prior to the date that such Lender does
give such notice. Each Lender will furnish to the Company a certificate setting
forth the basis and amount of each request by such Lender for compensation under
paragraph (a) or (b) of this Section 5.01. Determinations and allocations by any
Lender for purposes of this Section 5.01 of the effect of any Regulatory Change
pursuant to paragraph (a) of this Section 5.01, or of the effect of capital
maintained pursuant to paragraph (b) of this Section 5.01, on its costs or rate
of return of maintaining Loans or its obligation to make Loans, or on amounts
receivable by it in respect of Loans, and of the amounts required to compensate
such Lender under this Section 5.01, shall be conclusive absent manifest error,
PROVIDED that such determinations and allocations are made on a reasonable
basis.
(d) Each Lender will designate a different Applicable Lending
Office for the Loans of such Lender affected by any event specified in
paragraphs (a) or (b) of this Section 5.01 or in Section 5.03 if such
designation will avoid the need for, or reduce the amount of, such compensation
or suspension, as the case may be, and will not, in the sole opinion of such
Lender, be disadvantageous to such Lender.
5.02 LIMITATION ON TYPES OF LOANS. Anything herein to the
contrary notwithstanding:
(a) if the LIBO Rate for any Currency is to be determined
under the second
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paragraph of the definition of "LIBO Rate" and the Administrative
Agent determines (which determination shall be conclusive) that no
quotation from any Reference Lender of interest rates for the
relevant deposits referred to in such paragraph are not being
provided in the relevant amounts or for the relevant maturities for
purposes of determining rates of interest for LIBO Rate Loans as
provided herein; or
(b) if the LIBO Rate for any Currency is being determined
under the second paragraph of the definition of "LIBO Rate" and the
Majority Lenders determine (or any Lender that has outstanding a
Competitive Bid with respect to a Competitive LIBOR Loan, determines),
which determination shall be conclusive, and notify (or notifies, as
the case may be) the Administrative Agent that the relevant rates of
interest referred to in the second paragraph of the definition of "LIBO
Rate" do not adequately cover the cost to such Lenders (or such quoting
Lender) of making or maintaining its LIBO Rate Loans in such Currency;
then the Administrative Agent shall give the Company and each Lender prompt
notice thereof, and so long as such condition remains in effect, the Lenders (or
such quoting Lender) shall be under no obligation to make additional LIBO Rate
Loans in such Currency, to Continue LIBO Rate Loans in such Currency or to
Convert Loans of another Type or Currency into LIBO Rate Loans in such Currency.
5.03 ILLEGALITY. Notwithstanding any other provision of this
Agreement, in the event that it becomes unlawful for any Lender or its
Applicable Lending Office to honor its obligation to make or maintain LIBO Rate
Loans hereunder in any Currency, then such Lender shall promptly notify the
Company thereof (with a copy to the Administrative Agent) and such Lender's
obligation to make or Continue, or Convert Base Rate Loans into, Committed LIBOR
Loans in such Currency shall be suspended until such time as such Lender may
again make and maintain Committed LIBOR Loans in such Currency (in which case
the provisions of Section 5.04 shall be applicable), and such Lender shall no
longer be obligated to make any Competitive LIBOR Loan in such Currency that it
has offered to make.
5.04 BASE RATE LOANS PURSUANT TO SECTIONS 5.01 AND 5.03. If
the obligation of any Lender to make, Continue, or to Convert Base Rate Loans
into, any LIBO Rate Loans in Dollars shall be suspended pursuant to Section 5.01
or 5.03 (Loans of such type being herein called "AFFECTED LOANS" and such type
being herein called the "AFFECTED TYPE"), all Loans in Dollars (other than
Competitive Loans) which would otherwise be made by such Lender as Loans of the
Affected Type shall be made instead as Base Rate Loans (and, if an event
referred to in Section 5.03 has occurred and such Lender so requests by notice
to the Company with a copy to the Administrative Agent, all Affected Loans of
such Lender then outstanding shall be automatically Converted into Base Rate
Loans on the date specified by such Lender in such notice) and, to the extent
that Affected Loans are so made as (or Converted into) Base Rate Loans, all
payments of principal which would otherwise be applied to such Lender's Affected
Loans shall be applied instead to its Base Rate Loans. If such Lender gives
notice to the Company with a copy to the Administrative Agent that the
circumstances specified in Section 5.01 or 5.03 that gave rise to the Conversion
of such Lender's Affected Loans pursuant to this Section 5.04 no longer exist
(which such Lender agrees to do promptly upon such circumstances
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ceasing to exist) at a time when Loans of the Affected Type made by other
Lenders are outstanding, such Lender's Base Loans shall be automatically
Converted, on the first day(s) of the next succeeding Interest Period(s) for
such outstanding loans of the Affected Type, to the extent necessary so that,
after giving effect thereto, all Committed Loans held by the Lenders holding
Loans of the Affected Type and by such Lender are held pro rata (as to principal
amounts, Types and Interest Periods) in accordance with their respective
Commitments.
5.05 COMPENSATION. Each Borrower shall pay to the
Administrative Agent for account of each Lender, upon the request of such Lender
through the Administrative Agent, such amount or amounts as shall be sufficient
(in the reasonable opinion of such Lender) to compensate it for any loss, cost
or expense which such Lender determines are attributable to:
(a) any payment, prepayment or Conversion of a LIBO Rate Loan
or a Set Rate Loan made by such Lender for any reason (including,
without limitation, the acceleration of the Loans pursuant to Section
9) on a date other than the last day of the Interest Period for such
Loan; or
(b) any failure by such Borrower for any reason (excluding
only failure due solely to a default by any Lender or the
Administrative Agent in its obligation to provide funds to such
Borrower hereunder but including, without limitation, the failure of
any of the conditions precedent specified in Section 6 to be satisfied)
to borrow a LIBO Rate Loan or a Set Rate Loan from such Lender on the
date for such borrowing specified in the relevant notice of borrowing
given pursuant to Section 2.02 or 2.03(b).
Without limiting the effect of the preceding sentence, such compensation shall
include, in the case of a Loan, an amount equal to the excess, if any, of (i)
the amount of interest which otherwise would have accrued on the principal
amount so paid, prepaid or Converted or not borrowed for the period from the
date of such payment, prepayment, Conversion or failure to borrow to the last
day of the Interest Period for such Loan (or, in the case of a failure to
borrow, the Interest Period for such Loan which would have commenced on the date
specified for such borrowing) at the applicable rate of interest for such Loan
provided for herein over (ii) the interest component of the amount such Lender
would have bid in the London interbank market for deposits in the applicable
Currency of leading banks (if such Loan is a LIBO Rate Loan) or in the United
States certificate of deposit market for issuance at face value of certificates
of deposit for Dollar deposits (if such Loan is a Set Rate Loan) in amounts
comparable to such principal amount and with maturities comparable to such
period (as reasonably determined by such Lender).
5.06 TAXES.
(a) Each Approved Designated Borrower agrees to pay to each
Lender such additional amounts as are necessary in order that the net payment of
any amount due to such Lender hereunder after deduction for or withholding in
respect of any Taxes imposed with respect to such payment will not be less than
the amount stated herein to be then due and payable, PROVIDED that the foregoing
obligation to pay such additional amounts shall not apply:
(i) to any payment to any Lender hereunder unless such Lender
is, on the date
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such Borrower became a Borrower hereunder (which, in the case of the
Company, means the date hereof and, in the case of any other Approved
Designated Borrower, means the date of the Designation Letter of such
Approved Designated Borrower) or (if later) on the date such Lender
becomes a Lender hereunder as provided in Section 12.05(b) and on the
date of any change in the Applicable Lending Office of such Lender,
entitled to a complete exemption from withholding or deduction by such
Approved Designated Borrower of Taxes on all interest to be received
by such Lender hereunder in respect of the Loans made by such Lender
to such Approved Designated Borrower, or
(ii) to any such Taxes required to be deducted or withheld
solely by reason of the failure of such Lender to comply with
applicable certification, information, documentation or other reporting
requirements concerning the nationality, residence, identity or
connections with such Borrower's Jurisdiction if such compliance is
required by treaty, statute or regulation as a precondition to relief
or exemption from such Taxes.
For the purposes of this Section 5.06(a), the term "TAXES" shall mean with
respect to any Approved Designated Borrower all present and future income,
stamp, registration and other taxes and levies, imposts, deductions, charges,
compulsory loans and withholdings whatsoever, and all interest, penalties or
similar amounts with respect thereto, now or hereafter imposed, assessed, levied
or collected by such Approved Designated Borrower's Jurisdiction on or in
respect of the Credit Documents, the principal of and interest on the Loans and
any other amounts payable under any of the Credit Documents, the recording,
registration, notarization or other formalization of any thereof, the
enforcement thereof or the introduction thereof in any judicial proceedings, or
on or in respect of any payments of principal, interest, premium, charges, fees
or other amounts made on, under or in respect of any thereof (excluding,
however, income or franchise taxes imposed on or measured by the overall net
income or capital of a Lender (or its Applicable Lending Office) by such
Approved Designated Borrower's Jurisdiction as a result of such Lender being
organized under the laws of or resident in such Approved Designated Borrower's
Jurisdiction or of its Applicable Lending Office being located or carrying on
business in such Approved Designated Borrower's Jurisdiction).
(b) Within 30 days after paying any amount to the
Administrative Agent or any Lender from which it is required by law to make any
deduction or withholding, and within 30 days after it is required by law to
remit such deduction or withholding to any relevant taxing or other authority,
the relevant Borrower shall deliver to the Administrative Agent for delivery to
such Lender evidence satisfactory to such Lender of such deduction, withholding
or payment (as the case may be).
5.07 REPLACEMENT OF LENDERS. If any Lender requests
compensation pursuant to Section 5.01 or 5.06, or any Lender's obligation to
make Loans of any Type or denominated in any Currency shall be suspended
pursuant to Section 5.01 (any such Lender requesting such compensation, or whose
obligations are so suspended, being herein called a "REQUESTING LENDER"), the
Company, upon three Business Days' notice to the Administrative Agent given when
no Default shall have occurred and be continuing, may require that such
Requesting Lender transfer all of its right, title and interest under this
Agreement to any bank or other financial institution identified by the Company
that is satisfactory to the Administrative Agent
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(a) if such bank or other financial institution (a "PROPOSED LENDER") agrees to
assume all of the obligations of such Requesting Lender hereunder, and to
purchase all of such Requesting Lender's Loans hereunder for consideration equal
to the aggregate outstanding principal amount of such Requesting Lender's Loans,
together with interest thereon to the date of such purchase, and satisfactory
arrangements are made for payment to such Requesting Lender of all other amounts
payable hereunder to such Requesting Lender on or prior to the date of such
transfer (including any fees accrued hereunder and any amounts that would be
payable under Section 5.05 as if all of such Requesting Lender's Loans were
being prepaid in full on such date) and (b) if such Requesting Lender has
requested compensation pursuant to Section 5.01 or 5.06, such Proposed Lender's
aggregate requested compensation, if any, pursuant to said Section 5.01 or 5.06
with respect to such Requesting Lender's Loans is lower than that of the
Requesting Lender. Subject to the provisions of Section 12.05(b), such Proposed
Lender shall be a "Lender" for all purposes hereunder. Without prejudice to the
survival of any other agreement of the Company hereunder the agreements of the
Company contained in Sections 5.01, 5.06 and 12.03 (without duplication of any
payments made to such Requesting Lender by the Company or the Proposed Lender)
shall survive for the benefit of such Requesting Lender under this Section 5.07
with respect to the time prior to such replacement.
SECTION 6. CONDITIONS PRECEDENT.
6.01 EFFECTIVE DATE. The obligations of the Lenders to make
Loans hereunder shall not become effective until the date on which each of the
following conditions is satisfied (or waived pursuant to Section 12.04):
(a) The Administrative Agent shall have received each of the
following documents (with sufficient copies for each Lender), each of
which shall be satisfactory to the Administrative Agent (and to the
extent specified below, to each Lender) in form and substance:
(i) A counterpart of this Agreement signed on behalf
of each party hereto or written evidence satisfactory to the
Administrative Agent that such party has signed a counterpart
of this Agreement.
(ii) Certified copies of the charter and by-laws of,
and all corporate action taken by, the Company approving this
Agreement and the Notes (if any) to be made by the Company,
borrowings by the Company and the guarantee of the Company set
forth in Section 11 (including, without limitation, a
certificate setting forth the resolutions of the Board of
Directors of the Company adopted in respect of the
transactions contemplated hereby).
(iii) A certificate of the Company in respect of each
of the officers (1) who is authorized to sign this Agreement,
the Notes, Competitive Bid Requests, Designation Letters and
Termination Letters, together with specimen signatures, and
(2) who will, until replaced by another officer or officers
duly authorized for that purpose, act as its representative
for the purposes of signing documents and giving notices and
other communications in connection herewith and with the
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Notes and the transactions contemplated hereby and thereby.
The Administrative Agent and each Lender may conclusively
rely on such certificate until they receive notice in
writing from the Company to the contrary.
(iv) An opinion dated the Effective Date of ▇▇▇▇▇▇
▇▇▇▇▇▇ & ▇▇▇▇▇, special Illinois counsel to the Company,
substantially in the form of Exhibit A-1 hereto (and the
Company hereby instructs such counsel to deliver such opinion
to the Lenders and the Administrative Agent); and an opinion
dated the Effective Date of ▇▇▇▇ ▇. ▇▇▇▇▇▇▇▇▇▇▇,
Vice-President - General Counsel to the Company, substantially
in the form of Exhibit A-2 hereto (and the Company hereby
instructs such counsel to deliver such opinion to the Lenders
and the Administrative Agent).
(v) An opinion dated the Effective Date of Milbank,
Tweed, ▇▇▇▇▇▇ & ▇▇▇▇▇▇ LLP, special New York counsel to the
Administrative Agent, substantially in the form of Exhibit B
hereto.
(b) The Lenders and the Administrative Agent shall have
received all fees and other amounts as the Company shall have agreed to
pay in connection herewith.
(c) The Administrative Agent shall have received evidence that
(i) all commitments under the Borrowers' Amended and Restated Credit
Agreement dated as of August 5, 1997 (as amended) have terminated and
(ii) all principal, interest, fees and other amounts payable thereunder
that are accrued to the Effective Date and/or unpaid have been paid in
full.
The Administrative Agent shall notify the Company and the Lenders of the
Effective Date, and such notice shall be conclusive and binding. Notwithstanding
the foregoing, the obligations of the Lenders to make Loans hereunder shall not
become effective unless each of the foregoing conditions is satisfied (or waived
pursuant to Section 12.04) at or prior to 3:00 p.m., New York City time, on June
28, 2002 (and, in the event such conditions are not so satisfied or waived, the
Commitments shall terminate at such time).
6.02 INITIAL AND SUBSEQUENT CREDIT EXTENSIONS. The obligation
of any Lender to make any Credit Extension hereunder (including, without
limitation, the initial Credit Extension hereunder) is subject to the further
conditions precedent that, as of the date of such Credit Extension and after
giving effect thereto and the intended use thereof:
(a) no Default shall have occurred and be continuing; and
(b) the representations and warranties made by the Company in
Section 7 (other than Sections 7.02(c) and 7.03, except if such Credit
Extension is made on the Effective Date) shall be true on and as of the
date of such Credit Extension with the same force and effect as if made
on and as of such date (or, if any such representation or warranty is
expressly stated to have been made as of a specific date, as of such
specific date).
Each notice of borrowing by the Company hereunder (whether on its own behalf or
on behalf of
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any other Borrower) shall constitute a certification by the Company to the
effect set forth in the preceding sentence (both as of the date of such notice
and, unless the Company otherwise notifies the Administrative Agent prior to the
date of such Credit Extension, as of the date of such Credit Extension).
SECTION 7. REPRESENTATIONS AND WARRANTIES. The Company and
(with respect only to Sections 7.01, 7.04, 7.05, 7.06 and 7.16) each Designated
Borrower represent and warrant to the Lenders that:
7.01 CORPORATE EXISTENCE. Each of the Company and its
Significant Subsidiaries and each Designated Borrower: (a) is a corporation duly
organized and validly existing under the laws of the jurisdiction of its
incorporation; (b) has all requisite corporate power, and has all material
governmental licenses, authorizations, consents and approvals, necessary to own
its assets and carry on its business as now being or as proposed to be
conducted; and (c) is qualified to do business in all jurisdictions in which the
nature of the business conducted by it makes such qualification necessary except
where failure so to qualify would not have a Material Adverse Effect.
7.02 FINANCIAL CONDITION.
(a) The consolidated balance sheet of the Company and its
Subsidiaries as of December 31, 2001 and the related consolidated statements of
income, cash flows and stockholders' equity of the Company and its Subsidiaries
for the fiscal year ended on said date, with the opinion thereon of ▇▇▇▇▇▇
▇▇▇▇▇▇▇▇ LLP, heretofore furnished to each of the Lenders, are complete and
correct and fairly present the consolidated financial condition of the Company
and its Subsidiaries as at said date and the consolidated results of their
operations for the fiscal year ended on said date, all in accordance with
generally accepted accounting principles. Neither the Company nor any of its
Subsidiaries had on said date any material contingent liabilities, material
liabilities for taxes, material unusual forward or long-term commitments or
material unrealized or anticipated losses from any unfavorable commitments,
except as referred to or reflected or provided for in said balance sheet as at
said date.
(b) The consolidated balance sheet of the Company and its
Subsidiaries as of March 31, 2002 and the related consolidated statements of
income, cash flows and stockholders' equity of the Company and its Subsidiaries
for the three-month period ended on said date, heretofore furnished to each of
the Lenders, are complete and correct and fairly present the consolidated
financial condition of the Company and its Subsidiaries as at said date and the
consolidated results of their operations for the three-month period ended on
said date, all in accordance with generally accepted accounting principles.
Neither the Company nor any of its Subsidiaries had on said date any material
contingent liabilities, material liabilities for taxes, material unusual forward
or long-term commitments or material unrealized or anticipated losses from any
unfavorable commitments, except as referred to or reflected or provided for in
said balance sheet as at said date.
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(c) Since December 31, 2001, there has been no material
adverse change in the consolidated financial condition, operations, business or
prospects of the Company and its Subsidiaries (taken as a whole).
7.03 LITIGATION. There are no legal or arbitral proceedings or
any proceedings or investigations by or before any governmental or regulatory
authority or agency, now pending or (to the knowledge of the Company) threatened
against the Company or any of its Subsidiaries which could reasonably be
expected to have a Material Adverse Effect.
7.04 NO BREACH. The making or performance of this Agreement or
the Notes, and the consummation of the transactions herein contemplated, will
not conflict with or result in a breach of, or require any consent under, the
charter or by-laws of the Company and each other Borrower or any applicable law
or regulation, or any order, writ, injunction or decree of any court or
governmental authority or agency, or any agreement or instrument to which the
Company or any of its Subsidiaries is a party or by which any of them is bound
or to which any of them is subject, or constitute a default under any such
agreement or instrument, or constitute a tortious interference with any
agreement, or result in the creation or imposition of any Lien upon any of the
revenues or assets of the Company or any of its Subsidiaries pursuant to the
terms of any such agreement or instrument.
7.05 CORPORATE ACTION. Each Borrower has all necessary
corporate power and authority to make and perform its obligations under this
Agreement and the Notes; the making and performance of this Agreement and the
Notes by each Borrower have been duly authorized by all necessary corporate
action on the part of such Borrower; and this Agreement has been duly and
validly executed and delivered by the Company and constitutes, and each of the
Notes of any Borrower when executed and delivered by such Borrower for value
will constitute, the legal, valid and binding obligation of the respective
Borrower, enforceable in accordance with their respective terms, except to the
extent that such enforcement may be limited by applicable bankruptcy, insolvency
or other similar laws affecting the enforcement of creditors' rights generally.
7.06 APPROVALS. No authorizations, approvals or consents of,
and no filings or registrations with, any governmental or regulatory authority
or agency are necessary for the execution, delivery or performance by each
Borrower of this Agreement or the Notes of such Borrower or for the validity or
enforceability of any thereof.
7.07 USE OF CREDIT. Neither the Company nor any of its
Subsidiaries is engaged principally, or as one of its important activities, in
the business of extending credit for the purpose, whether immediate, incidental
or ultimate, of buying or carrying margin stock (within the meaning of
Regulation U or X of the Board of Governors of the Federal Reserve System), and
no part of the proceeds of any Credit Extension hereunder will be used in a
manner that will cause any Borrower to violate said Regulation X or any Lender
to violate said Regulation U.
7.08 ERISA. Each of the Company and each ERISA Affiliate has
fulfilled its obligations under the minimum funding standards of ERISA and the
Code with respect to each of its Plans and is (and to the best of its knowledge
in the case of any Multiemployer Plan is) in
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compliance with the currently applicable provisions of ERISA and the Code, and
has not incurred any liability on account of the termination of any of its Plans
to the PBGC or any of its Plans and has not incurred any withdrawal liability to
any Multiemployer Plan, in each case except to the extent failure to do so would
not reasonably be expected to have a Material Adverse Effect.
7.09 INVESTMENT COMPANY ACT; PUBLIC UTILITY HOLDING COMPANY
ACT. Neither the Company nor any of its Subsidiaries is (a) an "investment
company" as defined in, or subject to regulation under, the Investment Company
Act of 1940 or (b) a "holding company" as defined in, or subject to regulation
under, the Public Utility Holding Company Act of 1935.
7.10 CREDIT AGREEMENTS. Schedule I hereto is a complete and
correct list, as of the date hereof, of each credit agreement, loan agreement,
indenture, purchase agreement, Guarantee or other arrangement (other than a
letter of credit) providing for or otherwise relating to any extension of credit
(or commitment for any extension of credit) to, or Guarantee by, the Company or
any of its Subsidiaries the aggregate principal or face amount of which equals
or exceeds (or may equal or exceed) $5,000,000 and the aggregate principal or
face amount outstanding or which may become outstanding under each such
arrangement is correctly described (as of April 30, 2002) in said Schedule I.
7.11 HAZARDOUS MATERIALS. The Company and each of its
Subsidiaries have obtained all permits, licenses and other authorizations that
are required under all Environmental Laws, except to the extent failure to have
any such permit, license or authorization would not have a Material Adverse
Effect. The Company and each of its Subsidiaries are in compliance with the
terms and conditions of all such permits, licenses and authorizations, and are
also in compliance with all other limitations, restrictions, conditions,
standards, prohibitions, requirements, obligations, schedules and timetables
contained in any applicable Environmental Law or in any regulation, code, plan,
order, decree, judgment, injunction, notice or demand letter issued, entered,
promulgated or approved thereunder, except to the extent failure to comply would
not have a Material Adverse Effect. Except as heretofore disclosed to the
Lenders, there have been no environmental investigations, studies, audits,
tests, reviews or other analyses conducted by or that are in the possession of
the Company or any of its Subsidiaries with respect to any property or facility
now or previously owned or leased by the Company or any of its Environmental
Affiliates which reveal facts or circumstances that could reasonably be expected
to have a Material Adverse Effect.
7.12 TAXES. The Company and its Subsidiaries are members of an
affiliated group of corporations filing consolidated returns for Federal income
tax purposes, of which the Company is the "common parent" (within the meaning of
Section 1504 of the Code) of such group. The Company and its Subsidiaries have
filed all Federal income tax returns and all other material tax returns and
information statements that are required to be filed by them and have paid all
taxes due pursuant to such returns or pursuant to any assessment received by the
Company or any of its Subsidiaries. The charges, accruals and reserves on the
books of the Company and its Subsidiaries in respect of taxes and other
governmental charges are, in the opinion of the Company, adequate. The United
States Federal income tax returns of the
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Company and its Subsidiaries have been examined and/or closed through the fiscal
years of the Company and its Subsidiaries ended on or before December 31, 1997.
The Company has not given or been requested to give a waiver of the statute of
limitations relating to the payment of Federal, state, local and foreign taxes
or other impositions.
7.13 TRUE AND COMPLETE DISCLOSURE. The information, reports,
financial statements, exhibits and schedules furnished in writing by or on
behalf of the Company to the Lenders in connection with the negotiation,
preparation or delivery of this Agreement or included herein or delivered
pursuant hereto, when taken as a whole do not contain any untrue statement of
material fact or omit to state any material fact necessary to make the
statements herein or therein, in light of the circumstances under which they are
made, not misleading. All written information furnished after the date hereof by
the Company and its Subsidiaries to the Lenders in connection with this
Agreement and the transactions contemplated hereby will be true, complete and
accurate in every material respect, or (in the case of projections) based on
reasonable estimates, on the date as of which such information is stated or
certified. There is no fact known to the Company that could reasonably be
expected to have a Material Adverse Effect that has not been disclosed herein or
in a report, financial statement, exhibit, schedule, disclosure letter or other
writing furnished to the Lenders for use in connection with the transactions
contemplated hereby.
7.14 SUBSIDIARIES. As of the date hereof, each of the Company
and its Subsidiaries (as disclosed in the periodic reports which the Company has
filed with the Securities and Exchange Commission) owns, free and clear of
Liens, and has the unencumbered right to vote all of its outstanding ownership
interests in, each Subsidiary held by it and all of the issued and outstanding
capital stock of each such Person is validly issued, fully paid and
nonassessable.
7.15 COMPLIANCE WITH LAW. As of the date hereof, the Company
and its Subsidiaries are in compliance with all applicable laws and regulations,
except to the extent that failure to comply therewith would not have a Material
Adverse Effect.
7.16 DESIGNATED BORROWER APPROVALS. No authorizations,
approvals or consents of, and no filings or registrations with, any governmental
or regulatory authority or agency that have not been obtained by the time any
Subsidiary of the Company becomes a Designated Borrower are necessary for the
execution, delivery or performance by such Designated Borrower of the
Designation Letter of such Designated Borrower, this Agreement or the Notes of
such Designated Borrower or for the validity or enforceability of any thereof or
for the borrowing by such Designated Borrower hereunder.
SECTION 8. COVENANTS OF THE COMPANY. The Company agrees that,
so long as any of the Commitments are in effect and until payment in full of all
Loans hereunder, all interest thereon and all other amounts payable by each
Borrower hereunder:
8.01 FINANCIAL STATEMENTS. The Company shall furnish to each
of the Lenders:
(a) as soon as available and in any event within 60 days after
the end of each of the fiscal quarterly periods of each fiscal year of
the Company, consolidated statements of income, cash flows and
stockholders' equity of the Company and its Subsidiaries for
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such period and for the period from the beginning of the respective
fiscal year to the end of such period, and the related consolidated
balance sheet as at the end of such period, setting forth in each case
in comparative form the corresponding figures for the corresponding
period in the preceding fiscal year, and accompanied by a certificate
of a senior financial officer of the Company, which certificate shall
state that said financial statements fairly present the consolidated
financial condition and results of operations of the Company and its
Subsidiaries, in accordance with generally accepted accounting
principles, as at the end of (and for) such period (subject to normal
year-end audit adjustments).
(b) as soon as available and in any event within 90 days after
the end of each fiscal year of the Company, consolidated statements of
income, cash flows and stockholders' equity of the Company and its
Subsidiaries for such year and the related consolidated balance sheet
as at the end of such year, setting forth in each case in comparative
form the corresponding figures for the preceding fiscal year, and
accompanied by an opinion thereon of independent certified public
accountants of recognized national standing, which opinion shall state
that said financial statements fairly present the consolidated
financial condition and results of operations of the Company and its
Subsidiaries, in accordance with generally accepted accounting
principles, as at the end of (and for) such fiscal year, and a
certificate of such accountants stating that, in making the examination
necessary for their opinion, they obtained no knowledge, except as
specifically stated, of any Event of Default under Sections 8.10 and
8.11.
(c) promptly upon their becoming available, copies of all
registration statements and regular periodic reports, if any, which the
Company shall have filed with the Securities and Exchange Commission
(or any governmental agency substituted therefor) or any national
securities exchange.
(d) promptly upon the mailing thereof to the shareholders of
the Company generally, copies of all financial statements, reports and
proxy statements so mailed.
(e) as soon as possible, and in any event within 30 days after
the Company knows or has reason to know that any of the events or
conditions specified below with respect to any Plan or Multiemployer
Plan of the Company have occurred or exist, a statement signed by a
senior financial officer of the Company setting forth details
respecting such event or condition and the action, if any, which the
Company or any ERISA Affiliate proposes to take with respect thereto
(and a copy of any report or notice required to be filed with or given
to PBGC by the Company or such ERISA Affiliate with respect to such
event or condition):
(i) any reportable event, as defined in Section
4043(b) of ERISA and the regulations issued thereunder, with
respect to a Plan, as to which PBGC has not by regulation
waived the requirement of Section 4043(a) of ERISA that it be
notified within 30 days of the occurrence of such event
(PROVIDED that a failure to meet the minimum funding standard
of Section 412 of the Code or Section 302 of
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ERISA by more than $5,000,000 shall be a reportable event
regardless of the issuance of any waivers in accordance with
Section 412(d) of the Code);
(ii) the filing under Section 4041 of ERISA of a
notice of intent to terminate any Plan or the termination of
any Plan if at the date of such filing or termination the fair
market value of the assets of such Plan, as determined by the
Plan's independent actuaries, is exceeded by the present value
as determined by such actuaries as of such date, of benefit
commitments under such Plan by more than $5,000,000 (including
any prior terminations subject to this provision);
(iii) the institution by PBGC of proceedings under
Section 4042 of ERISA for the termination of, or the
appointment of a trustee to administer, any Plan of the
Company, or the receipt by the Company or any ERISA Affiliate
of a notice from a Multiemployer Plan that such action has
been taken by PBGC with respect to such Multiemployer Plan and
such action would reasonably be expected to result in
liability to the Company in excess of $5,000,000;
(iv) the complete or partial withdrawal by the
Company or any ERISA Affiliate under Section 4201 or 4204 of
ERISA from a Multiemployer Plan causing any withdrawal
liability in excess of $5,000,000 (including any prior
withdrawals subject to this provision), or the receipt by the
Company or any ERISA Affiliate of notice from a Multiemployer
Plan that it is in reorganization or insolvency pursuant to
Section 4241 or 4245 of ERISA or that it intends to terminate
or has terminated under Section 4041A of ERISA; and
(v) the institution of a proceeding by a fiduciary of
any Multiemployer Plan against the Company or any ERISA
Affiliate to enforce Section 515 of ERISA, which proceeding is
not dismissed within 30 days.
(f) promptly after the Company knows or has reason to know
that any Default has occurred, a notice of such Default, describing the
same in reasonable detail.
(g) from time to time such other information regarding the
business, affairs or financial condition of the Company or any of its
Subsidiaries (including, without limitation, any Plan or Multiemployer
Plan and any reports or other information required to be filed under
ERISA) as any Lender or the Administrative Agent may reasonably
request.
The Company will furnish to each Lender, at the time it furnishes each set of
financial statements pursuant to paragraph (a) or (b) above, a certificate of a
senior financial officer of the Company (i) to the effect that no Default has
occurred and is continuing (or, if any Default has occurred and is continuing,
describing the same in reasonable detail) and (ii) setting forth in reasonable
detail the computations necessary to determine whether the Company is in
compliance with Sections 8.06, 8.07(a)(vi), 8.08(xiii), 8.10 and 8.11 as of the
end of the respective fiscal quarter or fiscal year.
Notwithstanding the foregoing, the Company's obligations to deliver documents or
information
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required under any of clauses (a), (b), (c) and (d) above shall be deemed to be
satisfied upon (i) the relevant documents or information being publicly
available on the Company's website or other publicly available electronic medium
(such as ▇▇▇▇▇) within the time period required by such clause and thereafter
being continuously so available and (ii) the delivery by the Company of notice
to the Administrative Agent and each of the Lenders (which notice may be given
electronically (such as e-mail)) within the time period required by such clause
that such documents or information are so available; PROVIDED that the Company
shall deliver paper copies of any such documents or information to any Lender
upon request of such Lender through the Administrative Agent.
8.02 LITIGATION. The Company shall promptly furnish to each
Lender notice of all legal or arbitral proceedings, and of all proceedings
before any governmental or regulatory authority or agency, instituted, or (to
the knowledge of the Company) threatened, against the Company or any of its
Subsidiaries which could reasonably be expected to have a Material Adverse
Effect.
8.03 CORPORATE EXISTENCE, ETC. The Company shall, and shall
cause each of its Significant Subsidiaries and each of the other Borrowers to:
preserve and maintain its corporate existence and all its material rights,
privileges and franchises (except as otherwise expressly permitted under Section
8.07); comply with all Requirements of Law except to the extent that failure to
comply therewith could not, in the aggregate, reasonably be expected to have a
Material Adverse Effect; pay and discharge all taxes, assessments and
governmental charges or levies imposed on it or on its income or profits or on
any of its property prior to the date on which penalties attach thereto, except
for any such tax, assessment, charge or levy the payment of which is being
contested in good faith and by proper proceedings and against which adequate
reserves are being maintained; maintain all its properties used or useful in its
business in good working order and condition, ordinary wear and tear excepted;
keep proper books of record and account in which full, true and correct entries
are made of all material dealings and transactions in relations to its business
and activities; and permit representatives of any Lender or the Administrative
Agent, during normal business hours, to examine, copy and make extracts from its
books and records, to inspect its properties, and to discuss its business and
affairs with its officers, all to the extent reasonably requested by such Lender
or the Administrative Agent (as the case may be).
8.04 INSURANCE. The Company shall, and shall cause each of its
Subsidiaries to, keep insured by financially sound and reputable insurers all
property of a character usually insured by corporations engaged in the same or
similar business similarly situated against loss or damage of the kinds and in
the amounts customarily insured against by such corporations and carry such
other insurance as is usually carried by such corporations.
8.05 USE OF PROCEEDS. The proceeds of the Credit Extensions
hereunder will be used solely for general corporate purposes, including (without
limitation) commercial paper back-up and acquisitions (each of which uses shall
be in compliance with all applicable legal and regulatory requirements,
including, without limitation, Regulations U and X of the Board of Governors of
the Federal Reserve System and the Securities Act of 1933, as amended, and the
Securities Exchange Act of 1934, as amended, and the rules and regulations
thereunder). The
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Company will not permit more than 25% of the value (as determined by any
reasonable method) of its assets, nor more than 25% of the value (as determined
by any reasonable method) of the assets of the Company and its Subsidiaries, to
be represented by margin stock (within the meaning of Regulation U of the Board
of Governors of the Federal Reserve System).
8.06 INDEBTEDNESS. The Company will not, nor will it permit
any of its Subsidiaries to, incur, assume or suffer to exist obligations in
respect of standby and performance letters of credit in an aggregate amount
exceeding 5% of Total Consolidated Assets at any one time outstanding. The
Company will not permit any of its Subsidiaries to create, issue, incur or
assume, or suffer to exist, any Indebtedness, except:
(i) Indebtedness existing on the date hereof (including any
Indebtedness incurred after the date hereof under any instrument or
agreement in effect on the date hereof), but not any renewals,
extensions or refinancings of the same;
(ii) Indebtedness owing to the Company and Indebtedness
owing by any Subsidiary to another Subsidiary;
(iii) Indebtedness of any Person that becomes a Subsidiary of
the Company after the date hereof so long as such Indebtedness exists
at the time such Person becomes such a Subsidiary and was not incurred
in anticipation thereof;
(iv) Capital Lease Obligations in an aggregate amount not to
exceed an amount equal to 5% of Total Consolidated Assets at any one
time outstanding;
(v) Indebtedness in respect of Committed Loans under this
Agreement; and
(vi) additional Indebtedness in an aggregate amount not to
exceed an amount equal to 15% of Total Consolidated Assets at any one
time outstanding.
8.07 FUNDAMENTAL CHANGES.
(a) The Company will not, and will not permit any of its
Subsidiaries to, be a party to any merger or consolidation, and the Company will
not, and will not permit any of its Subsidiaries or operating divisions (whether
now owned or existing or hereafter acquired or designated) to, (x) sell, assign,
lease or otherwise dispose of all or substantially all of its Property whether
now owned or hereafter acquired or (y) sell, assign or otherwise dispose of any
capital stock of any such Subsidiary, or permit any such Subsidiary to issue any
capital stock, to any Person other than the Company or any of its Wholly-Owned
Subsidiaries if, after giving effect thereto, the Company does not own, directly
or indirectly, a majority of the capital stock of such Subsidiary ("CONTROLLING
STOCK DISPOSITION"); except that, so long as both before and after giving effect
thereto, no Default shall have occurred and be continuing:
(i) the Company or any Subsidiary of the Company may be a
party to any merger or consolidation if it shall be the surviving
corporation;
(ii) any such Subsidiary may be a party to any merger or
consolidation with
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another such Subsidiary (or with any Person that becomes another such
Subsidiary as a result of such merger or consolidation);
(iii) any such Subsidiary may merge into, and any such
Subsidiary or operating division may transfer any Property to, the
Company;
(iv) any such Subsidiary or operating division may transfer
any Property to another such Subsidiary or operating division (or to
any Person that becomes as part of such transfer another such
Subsidiary or operating division);
(v) the Company, any such Subsidiary or operating division
may sell, assign, lease or otherwise dispose of any Non-Strategic
Property; and
(vi) the Company or any such Subsidiary or operating division
may make sales, assignments and other dispositions of Property
(including Controlling Stock Dispositions) and any such Subsidiary may
become a party to a merger or consolidation (each such sale,
assignment, disposition, Controlling Stock Disposition, merger or
consolidation, other than those described in clauses (i) through (v), a
"DISPOSITION") if the aggregate book value of the Property that was the
subject of such Disposition, together with the aggregate book value of
the Property that was the subject of all other Dispositions during the
Disposition Period for such Disposition, would not exceed an amount
equal to 10% of the Total Consolidated Assets determined as of the last
day of the most recently completed fiscal year for which a consolidated
balance sheet of the Company has been furnished to the Lenders pursuant
to Section 8.01.
(b) Notwithstanding anything in clauses (i) through (vi) of
Section 8.07(a) to the contrary, the Company will not, and will not permit any
of its Subsidiaries or operating divisions (whether now owned or existing or
hereafter acquired or designated) to, sell, lease, assign, transfer or otherwise
dispose of (whether in one transaction or in a series of transactions) any of
its Property (whether now owned or hereafter acquired) if such sale, assignment,
lease or other disposition (whether in one transaction or in a series of
transactions) shall have a Material Adverse Effect.
8.08 LIENS. The Company shall not, and shall not permit any of
its Subsidiaries to, create, assume or suffer to exist any Lien upon any of its
property or assets, now owned or hereafter acquired, securing any Indebtedness
or other obligation except: (i) Liens outstanding on the date hereof and listed
in Schedule II hereto; (ii) Liens for taxes or other governmental charges not
yet delinquent; (iii) Liens in respect of Property acquired or constructed or
improved by the Company or any such Subsidiary after the date hereof which Liens
exist or are created at the time of acquisition or completion of construction or
improvement of such Property or within six months thereafter to secure
Indebtedness assumed or incurred to finance all or any part of the purchase
price or cost of construction or improvement of such Property, but any such Lien
shall cover only the Property so acquired or constructed and any improvements
thereto (and any real property on which such Property is located); (iv) Liens on
Property of any corporation that becomes a Subsidiary of the Company after the
date hereof, provided that such Liens are in existence at the time such
corporation becomes a Subsidiary of the Company and were not created in
anticipation thereof; (v) Liens on Property acquired after the date hereof,
PROVIDED that such Liens were in existence at the time such Property was
acquired and were not
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created in anticipation thereof; (vi) Liens imposed by law, such as mechanics',
materialmen's, landlords', warehousemen's and carriers' Liens, and other similar
Liens, securing obligations incurred in the ordinary course of business which
are not past due for more than thirty days or which are being contested in good
faith by appropriate proceedings and for which appropriate reserves have been
established; (vii) Liens under workmen's compensation, unemployment insurance,
social security or similar legislation; (viii) Liens, deposits, or pledges to
secure the performance of bids, tenders, contracts (other than contracts for the
payment of money), leases, public or statutory obligations, surety, stay,
appeal, indemnity, performance or other similar bonds, or other similar
obligations arising in the ordinary course of business; (ix) judgment and other
similar Liens arising in connection with court proceedings, PROVIDED the
execution or other enforcement of such Liens is effectively stayed and the
claims secured thereby are being actively contested in good faith and by
appropriate proceedings; (x) easements, rights-of-way, restrictions and other
similar encumbrances which, in the aggregate, do not materially interfere with
the occupation, use and enjoyment by the Company or any such Subsidiary of the
Property encumbered thereby in the normal course of its business or materially
impair the value of the Property subject thereto; (xi) Liens securing
obligations of any such Subsidiary to the Company or another Subsidiary of the
Company; (xii) Liens arising in connection with Permitted Securitizations; and
(xiii) other Liens securing Indebtedness or other obligations in an aggregate
amount which does not exceed 5% of Total Consolidated Assets.
8.09 LINES OF BUSINESSES. Neither the Company nor any of its
Subsidiaries shall engage to any significant extent in any line or lines of
business other than the lines of business in which they are engaged on the date
hereof and any other line or lines of business directly related to the
manufacture, distribution and/or sale of consumer or industrial products
(collectively, "PERMITTED ACTIVITIES"). Notwithstanding the foregoing, the
Company and its Subsidiaries may engage in other lines of business as a result
of the acquisition of any Person primarily engaged in Permitted Activities so
long as the Company uses its best efforts to come into compliance with the first
sentence of this Section 8.09 within a reasonable period of time after such
acquisition.
8.10 TOTAL INDEBTEDNESS TO TOTAL CAPITAL. The Company shall
not permit the ratio of Total Indebtedness to Total Capital at any time to be
greater than 0.60 to 1; PROVIDED that (i) in calculating Total Capital, goodwill
impairment charges taken during fiscal year 2002 as a result of the Company's
adoption of Statement of Financial Accounting Standards No. 142 of the Financial
Accounting Standards Board shall be disregarded to the extent such charges do
not exceed $550,000,000 in the aggregate and (ii) in calculating such ratio,
quarterly income preferred securities, quarterly income capital securities,
monthly income preferred securities or other similar securities will be treated
as part of "Total Capital" and not "Total Indebtedness".
8.11 INTEREST COVERAGE RATIO.
The Company shall not permit the Interest Coverage Ratio as at
the last day of any fiscal quarter to be less than 4.00 to 1.00.
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8.12 TRANSACTIONS WITH AFFILIATES. The Company shall not, and
shall not permit any of its Subsidiaries to, sell, lease or otherwise transfer
any property or assets to, or purchase, lease or otherwise acquire any property
or assets from, or otherwise engage in any other transactions with, any of its
Affiliates, except (a) at prices and on terms and conditions not less favorable
to the Company or such Subsidiary than could be obtained on an arm's-length
basis from unrelated third parties and (b) transactions between or among the
Company and its Subsidiaries not involving any other Affiliate.
SECTION 9. EVENTS OF DEFAULT. If one or more of the following
events (herein called "EVENTS OF DEFAULT") shall occur and be continuing:
(a) Any Borrower shall default in the payment when due of any
principal of or interest on any Loan or any other amount payable by it
hereunder; or
(b) The Company or any of its Subsidiaries shall default in
the payment when due of any principal of or interest on any of its
other Indebtedness aggregating $50,000,000 or more; or any event
specified in any note, agreement, indenture or other document
evidencing or relating to any Indebtedness aggregating $50,000,000 or
more shall occur if the effect of such event is to cause, or (with the
giving of any notice or the lapse of time or both) to permit the holder
or holders of such Indebtedness (or a trustee or agent on behalf of
such holder or holders) to cause, such Indebtedness to become due prior
to its stated maturity or to permit termination of the commitment to
lend pursuant to any such instrument or agreement; or
(c) Any representation, warranty or certification made or
deemed made by the Company herein or in any Designation Letter or by
the Company in any certificate furnished to any Lender or the
Administrative Agent pursuant to the provisions hereof or thereof,
shall prove to have been false or misleading as of the time made or
furnished in any material respect; or
(d) The Company shall default in the performance of any of its
obligations under Section 8.01(f) or 8.05 through 8.12; or the Company
shall default in the performance of any of its other obligations in
this Agreement and such default shall continue unremedied for a period
of 30 days after notice thereof to the Company by the Administrative
Agent or any Lender (through the Administrative Agent); or
(e) The Company or any of its Significant Subsidiaries shall
admit in writing its inability to, or be generally unable to, pay its
debts as such debts become due; or
(f) The Company or any of its Significant Subsidiaries shall
(i) apply for or consent to the appointment of, or the taking of
possession by, a receiver, custodian, trustee or liquidator of itself
or of all or a substantial part of its property, (ii) make a general
assignment for the benefit of its creditors, (iii) commence a voluntary
case under the Bankruptcy Code (as now or hereafter in effect), (iv)
file a petition seeking to take advantage of any other law relating to
bankruptcy, insolvency, reorganization, winding-up, or composition or
readjustment of debts, (v) fail to controvert in a timely and
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appropriate manner, or acquiesce in writing to, any petition filed
against it in an involuntary case under the Bankruptcy Code, or (vi)
take any corporate action for the purpose of effecting any of the
foregoing; or
(g) A proceeding or case shall be commenced against the
Company or any of its Significant Subsidiaries without its application
or consent, in any court of competent jurisdiction, seeking (i) its
liquidation, reorganization, dissolution or winding-up, or the
composition or readjustment of its debts, (ii) the appointment of a
trustee, receiver, custodian, liquidator or the like of it or of all or
any substantial part of its assets, or (iii) similar relief in respect
of it under any law relating to bankruptcy, insolvency, reorganization,
winding-up, or composition or adjustment of debts, and such proceeding
or case shall continue undismissed, or an order, judgment or decree
approving or ordering any of the foregoing shall be entered and
continue unstayed and in effect, for a period of 60 days; or an order
for relief against it shall be entered in an involuntary case under the
Bankruptcy Code; or
(h) A final judgment or judgments for the payment of money in
excess of $50,000,000 in the aggregate shall be rendered by a court or
courts against the Company and/or any of its Subsidiaries and the same
shall not be discharged (or provision shall not be made for such
discharge), or a stay of execution thereof shall not be procured,
within 30 days from the date of entry thereof and the Company or the
relevant Subsidiary shall not, within said period of 30 days, or such
longer period during which execution of the same shall have been
stayed, appeal therefrom and cause the execution thereof to be stayed
during such appeal; or
(i) An event or condition specified in Section 8.01(e) shall
occur or exist with respect to any Plan or Multiemployer Plan of the
Company and, as a result of such event or condition, together with all
other such events or conditions, the Company or any ERISA Affiliate
shall incur or in the opinion of the Majority Lenders shall be
reasonably likely to incur a liability to a Plan, a Multiemployer Plan
or PBGC (or any combination of the foregoing) which, in the
determination of the Majority Lenders, would reasonably be expected to
have a Material Adverse Effect; or
(j) During any period of 25 consecutive calendar months (i)
individuals who were directors of the Company on the first day of such
period and (ii) other individuals whose election or nomination to the
Board of Directors of the Company was approved by at least a majority
of the individuals referred to in clause (i) above and (iii) other
individuals whose election or nomination to the Board of Directors of
the Company was approved by at least a majority of the individuals
referred to in clauses (i) and (ii) above shall no longer constitute a
majority of the Board of Directors of the Company; or
(k) The Guarantee provided in Section 11, or any provisions
thereof, shall cease to be in full force and effect in all material
respects, or any guarantor thereunder or any Person acting on behalf of
such guarantor shall deny or disaffirm such guarantor's obligations
under such Guarantee or shall default in the due performance or
observance of any term, covenant or agreement on its part to be
performed or observed pursuant to
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such Guarantee;
THEREUPON: (i) in the case of an Event of Default (other than one referred to in
clause (f) or (g) of this Section 9 in respect of the Company) (x) the
Administrative Agent may and, upon request of the Majority Lenders, shall, by
notice to the Company, cancel the Commitments and (y) the Administrative Agent
may and, upon request of Lenders holding at least 51% of the aggregate unpaid
principal amount of Loans then outstanding shall, by notice to the Company,
declare the principal amount of and the accrued interest on the Loans, and all
other amounts payable by the Company or any other Borrower hereunder and under
the Notes, to be forthwith due and payable, whereupon such amounts shall be
immediately due and payable without presentment, demand, protest or other
formalities of any kind, all of which are hereby expressly waived by the Company
and each other Borrower; and (ii) in the case of the occurrence of an Event of
Default referred to in clause (f) or (g) of this Section 9 in respect of the
Company, the Commitments shall be automatically cancelled and the principal
amount then outstanding of, and the accrued interest on, the Loans and all other
amounts payable by the Company or any other Borrower hereunder and under the
Notes shall become automatically immediately due and payable without
presentment, demand, protest or other formalities of any kind, all of which are
hereby expressly waived by the Company and each other Borrower.
In addition, in the case of the occurrence of any event of the
type referred to in clause (f) or (g) of this Section 9 in respect of any
Designated Borrower, the principal amount then outstanding of, and accrued
interest on, the Loans and other amounts payable by such Designated Borrower
hereunder and under its Notes shall automatically become immediately due and
payable without presentment, demand, protest or other formalities of any kind,
all of which are hereby expressly waived by such Designated Borrower and the
Company.
SECTION 10. THE ADMINISTRATIVE AGENT.
10.01 APPOINTMENT, POWERS AND IMMUNITIES. Each Lender hereby
irrevocably (but subject to Section 10.08) appoints and authorizes the
Administrative Agent to act as its agent hereunder with such powers as are
specifically delegated to the Administrative Agent by the terms of this
Agreement together with such other powers as are reasonably incidental thereto.
The Administrative Agent (which term as used in this sentence and in Section
10.05 and the first sentence of Section 10.06 shall include reference to its
Affiliates and its own and its affiliates' officers, directors, employees and
agents): (a) shall have no duties or responsibilities except those expressly set
forth in this Agreement and shall not by reason of this Agreement be a trustee
for any Lender; (b) shall not be responsible to the Lenders for any recitals,
statements, representations or warranties contained in this Agreement or in any
certificate or other document referred to or provided for in, or received by any
of them under, this Agreement or for the value, validity, effectiveness,
genuineness, enforceability or sufficiency of this Agreement, any Note or any
other document referred to or provided for herein or for any failure by the
Company or any other Person to perform any of its obligations hereunder or
thereunder; (c) shall not be required to initiate or conduct any litigation or
collection proceedings hereunder; and (d) shall not be responsible for any
action taken or omitted to be taken by it hereunder or under any other document
or instrument referred to or provided for herein or in connection herewith,
except for its own gross negligence or willful misconduct. The Administrative
Agent may employ agents
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and attorneys-in-fact and shall not be responsible for the negligence or
misconduct of any such agents or attorneys-in-fact selected by it with
reasonable care.
10.02 RELIANCE BY ADMINISTRATIVE AGENT. The Administrative
Agent shall be entitled to rely upon any certification, notice or other
communication (including any thereof by telephone, telex, telegram or cable)
believed by it to be genuine and correct and to have been signed or sent by or
on behalf of the proper Person or Persons, and upon advice and statements of
legal counsel, independent accountants and other experts selected by the
Administrative Agent. As to any matters not expressly provided for by this
Agreement, the Administrative Agent shall in all cases be fully protected in
acting, or in refraining from acting, hereunder in accordance with instructions
signed by the Majority Lenders (or such other number of Lenders as is expressly
required hereby), and such instructions of the Majority Lenders (or such other
number of Lenders) and any action taken or failure to act pursuant thereto shall
be binding on all the Lenders.
10.03 DEFAULTS. The Administrative Agent shall not be deemed
to have knowledge of the occurrence of a Default unless the Administrative Agent
has received notice from a Lender or the Company specifying such Default and
stating that such notice is a "Notice of Default". In the event that the
Administrative Agent receives such a notice of the occurrence of a Default, the
Administrative Agent shall give prompt notice thereof to the Lenders. The
Administrative Agent shall (subject to Section 10.07) take such action with
respect to such Default as shall be directed by the Majority Lenders, PROVIDED
that, unless and until the Administrative Agent shall have received such
directions, the Administrative Agent may (but shall not be obligated to) take
such action, or refrain from taking such action, with respect to such Default as
it shall deem advisable in the best interest of the Lenders.
10.04 RIGHTS AS A LENDER. With respect to its Commitment and
the Loans made by it, JPMCB (and any successor acting as Administrative Agent),
in its capacity as a Lender hereunder shall have the same rights and powers
hereunder as any other Lender and may exercise the same as though it were not
acting as the Administrative Agent, and the term "Lender" or "Lenders" shall,
unless the context otherwise indicates, include the Administrative Agent in its
individual capacity. JPMCB (and any successor acting as Administrative Agent)
and its Affiliates may (without having to account therefor to any Lender) accept
deposits from, lend money to and generally engage in any kind of banking, trust
or other business with the Company (and any of its Affiliates) as if it were not
acting as the Administrative Agent, and JPMCB and its Affiliates may accept fees
and other consideration from the Company for services in connection with this
Agreement or otherwise without having to account for the same to the Lenders.
10.05 INDEMNIFICATION. The Lenders agree to indemnify the
Administrative Agent (to the extent not reimbursed under Section 12.03, but
without limiting the obligations of the Company under said Section 12.03),
ratably in accordance with their respective Commitments, for any and all
liabilities, obligations, losses, damages, penalties, actions, judgments, suits,
costs, expenses or disbursements of any kind and nature whatsoever which may be
imposed on, incurred by or asserted against the Administrative Agent in any way
relating to or arising out of this Agreement or any other documents contemplated
by or referred to herein or
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the transactions contemplated hereby (including, without limitation, the costs
and expenses which the Company is obligated to pay under Section 12.03 but
excluding, unless a Default has occurred and is continuing, normal
administrative costs and expenses incident to the performance of its agency
duties hereunder) or the enforcement of any of the terms hereof, or of any such
other documents, PROVIDED that no Lender shall be liable for any of the
foregoing to the extent they arise from the gross negligence or willful
misconduct of the party to be indemnified.
10.06 NON-RELIANCE ON ADMINISTRATIVE AGENT AND OTHER LENDERS.
Each Lender agrees that it has, independently and without reliance on the
Administrative Agent or any other Lender, and based on such documents and
information as it has deemed appropriate, made its own credit analysis of the
Company and its Subsidiaries and decision to enter into this Agreement and that
it will, independently and without reliance upon the Administrative Agent or any
other Lender, and based on such documents and information as it shall deem
appropriate at the time, continue to make its own analysis and decisions in
taking or not taking action under this Agreement. The Administrative Agent shall
not be required to keep itself informed as to the performance or observance by
any Obligor of this Agreement or any other document referred to or provided for
herein or to inspect the properties or books of the Company or any Subsidiary of
the Company. Except for notices, reports and other documents and information
expressly required to be furnished to the Lenders by the Administrative Agent
hereunder, the Administrative Agent shall not have any duty or responsibility to
provide any Lender with any credit or other information concerning the affairs,
financial condition or business of the Company or any Subsidiary of the Company
(or any of their affiliates) which may come into the possession of the
Administrative Agent or any of its Affiliates.
10.07 FAILURE TO ACT. Except for action expressly required of
the Administrative Agent hereunder the Administrative Agent shall in all cases
be fully justified in failing or refusing to act hereunder unless it shall be
indemnified to its satisfaction by the Lenders against any and all liability and
expense which may be incurred by it by reason of taking or continuing to take
any such action.
10.08 RESIGNATION OR REMOVAL OF ADMINISTRATIVE AGENT. Subject
to the appointment and acceptance of a successor Administrative Agent as
provided below, the Administrative Agent may resign at any time by giving notice
thereof to the Lenders and the Company and the Administrative Agent may be
removed at any time with or without cause by the Majority Lenders. Upon any such
resignation or removal, the Majority Lenders shall have the right to appoint a
successor Administrative Agent. If no successor Administrative Agent shall have
been so appointed by the Majority Lenders and shall have accepted such
appointment within 30 days after the retiring Administrative Agent's giving of
notice of resignation or the Majority Lenders' removal of the retiring
Administrative Agent, then the retiring Administrative Agent may, on behalf of
the Lenders, appoint a successor Administrative Agent, which shall be a bank
with a combined capital and surplus of at least $100,000,000 which has an office
in New York, New York. Upon the acceptance of any appointment as Administrative
Agent hereunder by a successor Administrative Agent, such successor
Administrative Agent shall thereupon succeed to and become vested with all the
rights, powers, privileges and duties of the retiring Administrative Agent, and
the retiring Administrative Agent shall be discharged from its duties and
obligations hereunder. After any retiring Administrative Agent's resignation or
removal
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hereunder as Administrative Agent, the provisions of this Section 10 shall
continue in effect for its benefit in respect of any actions taken or omitted to
be taken by it while it was acting as the Administrative Agent.
10.09 LEAD ARRANGER AND OTHER AGENTS. Anything herein to the
contrary notwithstanding, the Sole Lead Arranger and Sole Bookrunner, the
Co-Syndication Agents and the Co-Documentation Agents listed on the cover page
shall not have any duties or responsibilities under this Agreement, except in
their capacity, if any, as Lenders.
SECTION 11. GUARANTEE.
11.01 GUARANTEE. The Company hereby guarantees to each Lender
and the Administrative Agent and their respective successors and assigns the
prompt payment in full when due (whether at stated maturity, by acceleration, by
optional prepayment or otherwise) of the principal of and interest on the Loans
made by the Lenders to, and the Notes held by each Lender of, any Designated
Borrower and all other amounts from time to time owing to the Lenders or the
Administrative Agent by any Designated Borrower under this Agreement pursuant to
its Designation Letter and under the Notes, in each case strictly in accordance
with the terms thereof (such obligations being herein collectively called the
"GUARANTEED OBLIGATIONS"). The Company hereby further agrees that if any
Designated Borrower shall fail to pay in full when due (whether at stated
maturity, by acceleration, by optional prepayment or otherwise) any of the
Guaranteed Obligations, the Company will promptly pay the same, without any
demand or notice whatsoever, and that in the case of any extension of time of
payment or renewal of any of the Guaranteed Obligations, the same will be
promptly paid in full when due (whether at extended maturity, by acceleration or
otherwise) in accordance with the terms of such extension or renewal.
11.02 OBLIGATIONS UNCONDITIONAL. The obligations of the
Company hereunder are unconditional irrespective of (a) the value, genuineness,
validity, regularity or enforceability of any of the Guaranteed Obligations, (b)
any modification, amendment or variation in or addition to the terms of any of
the Guaranteed Obligations or any covenants in respect thereof or any security
therefor, (c) any extension of time for performance or waiver of performance of
any covenant of any Designated Borrower or any failure or omission to enforce
any right with regard to any of the Guaranteed Obligations, (d) any exchange,
surrender, release of any other guaranty of or security for any of the
Guaranteed Obligations, or (e) any other circumstance with regard to any of the
Guaranteed Obligations which may or might in any manner constitute a legal or
equitable discharge or defense of a surety or guarantor, it being the intent
hereof that the obligations of the Company hereunder shall be absolute and
unconditional under any and all circumstances.
The Company hereby expressly waives diligence, presentment,
demand, protest, and all notices whatsoever with regard to any of the Guaranteed
Obligations and any requirement that the Administrative Agent or any Lender
exhaust any right, power or remedy or proceed against any Designated Borrower
hereunder or under the Designation Letter of such Designated Borrower or any
Note of such Designated Borrower or any other guarantor of or any security for
any of the Guaranteed Obligations.
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11.03 REINSTATEMENT. The guarantee in this Section 11 shall be
automatically reinstated if and to the extent that for any reason any payment by
or on behalf of any Designated Borrower in respect of the Guaranteed Obligations
is rescinded or must be otherwise restored by any holder(s) of any of the
Guaranteed Obligations, whether as a result of any proceedings in bankruptcy or
reorganization or otherwise.
11.04 SUBROGATION. Until the termination of the Commitments
and the payment in full of the principal of and interest on the Loans and all
other amounts payable to the Administrative Agent or any Lender hereunder, the
Company hereby irrevocably waives all rights of subrogation or contribution,
whether arising by operation of law (including, without limitation, any such
right arising under the Bankruptcy Code) or otherwise, by reason of any payment
by it pursuant to the provisions of this Section 11.
11.05 REMEDIES. The Company agrees that, as between the
Company on the one hand and the Lenders and the Administrative Agent on the
other hand, the obligations of any Designated Borrower guaranteed under this
Agreement may be declared to be forthwith due and payable, or may be deemed
automatically to have been accelerated, as provided in Section 9, for purposes
of Section 11.01 notwithstanding any stay, injunction or other prohibition
(whether in a bankruptcy proceeding affecting such Designated Borrower or
otherwise) preventing such declaration as against such Designated Borrower and
that, in the event of such declaration or automatic acceleration such
obligations (whether or not due and payable by such Designated Borrower) shall
forthwith become due and payable by the Company for purposes of said Section
11.01.
11.06 CONTINUING GUARANTEE. The guarantee in this Section 11
is a continuing guarantee and shall apply to all Guaranteed Obligations whenever
arising.
SECTION 12. MISCELLANEOUS.
12.01 WAIVER. No failure on the part of the Administrative
Agent or any Lender to exercise and no delay in exercising, and no course of
dealing with respect to, any right, power or privilege under this Agreement, any
Designation Letter or any Note shall operate as a waiver thereof, nor shall any
single or partial exercise of any right, power or privilege under this
Agreement, any Designation Letter or any Note preclude any other or further
exercise thereof or the exercise of any other right, power or privilege. The
remedies provided herein and therein are cumulative and not exclusive of any
remedies provided by law.
12.02 NOTICES. All notices and other communications provided
for herein (including, without limitation, any modifications of, or requests,
demands, waivers or consents under, this Agreement) shall be given or made in
writing and telecopied, mailed or delivered to the intended recipient at (i) in
the case of the Company or the Administrative Agent, the "Address for Notices"
specified below its name on the signature pages hereof and (ii) in the case of
each Lender, the address (or telecopy) set forth in its Administrative
Questionnaire; or, as to any party, at such other address as shall be designated
by such party in a notice to each other party. Except as otherwise provided in
this Agreement, all such communications shall be deemed to have been duly given
when transmitted by telecopier or personally delivered or, in the
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case of a mailed notice, upon receipt, in each case given or addressed as
aforesaid. Notices and other communications to the Lenders hereunder may be
delivered or furnished by electronic communications pursuant to procedures
approved by the Administrative Agent; PROVIDED that the foregoing shall not
apply to notices pursuant to Section 2 unless otherwise agreed by the
Administrative Agent and the applicable Lender. The Administrative Agent or the
Company may, in its discretion, agree to accept notices and other communications
to it hereunder by electronic communications pursuant to procedures approved by
it; PROVIDED that approval of such procedures may be limited to particular
notices or communications. Each Designated Borrower hereby agrees that each
notice or other communication provided for herein may be furnished to the
Company or by the Company on its behalf in the manner specified above and each
Designated Borrower further agrees that failure of the Company to deliver to
such Designated Borrower any notice furnished in accordance with this Section
12.02 shall not affect the validity of such notice.
12.03 EXPENSES, ETC. The Company agrees to pay or reimburse
each of the Lenders and the Administrative Agent for paying: (a) the reasonable
fees and expenses of Milbank, Tweed, ▇▇▇▇▇▇ & ▇▇▇▇▇▇ LLP, special New York
counsel to the Administrative Agent, in connection with (i) the preparation,
execution and delivery of this Agreement, the Designation Letters and the Notes
and the making of the Loans hereunder and (ii) any amendment, modification or
waiver (whether or not such amendment, modification or waiver shall become
effective) of any of the terms of this Agreement or any of the Notes; (b) all
reasonable costs and expenses of the Lenders and the Administrative Agent
(including reasonable counsels' fees) in connection with the enforcement of this
Agreement, any Designation Letter or any of the Notes; and (c) all transfer,
stamp, documentary or other similar taxes, assessments or charges levied by any
governmental or revenue authority in respect of this Agreement, any Designation
Letter, any of the Notes or any other document referred to herein.
The Company hereby agrees to indemnify the Administrative
Agent and each Lender and their respective directors, officers, employees and
agents from, and hold each of them harmless against, any and all losses,
liabilities, claims, damages, costs, expenses, taxes or penalties incurred by
any of them arising out of, by reason of or as a consequence of (i) any
representation or warranty made or deemed to be made by the Company in Section 7
or in any Designation Letter proving to have been false or misleading as of the
time made in any material respect or (ii) any investigation or litigation or
other proceedings (including any threatened investigation or litigation or other
proceedings) relating to any actual or proposed use by the Company or any
Subsidiary of the Company of the proceeds of any of the Loans, including,
without limitation, the reasonable fees and disbursements of counsel incurred in
connection with any such investigation or litigation or other proceedings (but
excluding any such losses, liabilities, claims, damages, costs, expenses, taxes
or penalties incurred by reason of the gross negligence or willful misconduct of
the Person to be indemnified).
12.04 AMENDMENTS, ETC. Except as otherwise expressly provided
in this Agreement, any provision of this Agreement may be amended or modified
only by an instrument in writing signed by the Company, the Administrative Agent
and the Majority Lenders, or by the Company, and the Administrative Agent acting
with the consent of the Majority Lenders, and any provision of this Agreement
may be waived by the Majority Lenders or by the
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Administrative Agent acting with the consent of the Majority Lenders; PROVIDED
that no amendment, modification or waiver shall, unless by an instrument signed
by all of the Lenders or by the Administrative Agent acting with the consent of
all of the Lenders: (i) increase or extend the term, or extend the time or waive
any requirement for the reduction or termination, of the Commitments, (ii)
extend the date fixed for the payment of any principal of or interest on any
Loan, (iii) reduce the amount of any principal of any Loan or the rate at which
interest or any fee is payable hereunder, (iv) alter the terms of Section 11 or
release the Company from any of its material obligations thereunder, (v) alter
the terms of this Section 12.04, (vi) amend the definition of the term "Majority
Lenders" or modify in any other manner the number or percentage of the Lenders
required to make any determinations or waive any rights hereunder or to modify
any provision hereof, (vii) amend the definition of the term "Alternative
Currency" or (viii) waive any of the conditions precedent set forth in Section
6; and PROVIDED, FURTHER, that any amendment of Section 10, or which increases
the obligations or alters the rights of the Administrative Agent hereunder,
shall require the consent of the Administrative Agent.
12.05 ASSIGNMENTS AND PARTICIPATIONS.
(a) No Obligor may assign any of its rights or obligations
hereunder or under the Notes without the prior consent of all of the Lenders and
the Administrative Agent.
(b) (i) Subject to the conditions set forth in paragraph
(b)(ii) below, any Lender may assign to one or more assignees all or a portion
of its rights and obligations under this Agreement (including all or a portion
of its Commitment and the Loans at the time owing to it) with the prior written
consent (such consent not to be unreasonably withheld) of:
(A) the Company, PROVIDED that no consent of the
Company shall be required for an assignment to a Lender, an
Affiliate of a Lender, an Approved Fund (as defined below) or,
if an Event of Default has occurred and is continuing, any
other assignee; and
(B) the Administrative Agent, PROVIDED that no
consent of the Administrative Agent shall be required for an
assignment to an assignee that is a Lender immediately prior
to giving effect to such assignment.
(ii) Assignments shall be subject to the following additional
conditions:
(A) except in the case of an assignment to a Lender
or an Affiliate of a Lender or an assignment of the entire
remaining amount of the assigning Lender's Commitment, the
amount of the Commitment of the assigning Lender subject to
each such assignment (determined as of the date the Assignment
and Assumption with respect to such assignment is delivered to
the Administrative Agent) shall not be less than $5,000,000
unless each of the Company and the Administrative Agent
otherwise consent, PROVIDED that no such consent of the
Company shall be required if an Event of Default has occurred
and is continuing;
(B) each partial assignment shall be made as an
assignment of a proportionate part of all the assigning
Lender's rights and obligations under this
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Agreement, PROVIDED that this clause shall not apply to
rights in respect of outstanding Competitive Loans;
(C) the parties to each assignment shall execute and
deliver to the Administrative Agent an Assignment and
Assumption, together with a processing and recordation fee of
$3,500;
(D) the assignee, if it shall not be a Lender, shall
deliver to the Administrative Agent an Administrative
Questionnaire; and
(E) in the case of an assignment to a CLO (as defined
below), the assigning Lender shall retain the sole right to
approve any amendment, modification or waiver of any provision
of this Agreement, PROVIDED that the Assignment and Assumption
between such Lender and such CLO may provide that such Lender
will not, without the consent of such CLO, agree to any
amendment, modification or waiver described in the first
proviso to Section 12.04 that affects such CLO.
For the purposes of this Section 12.05(a), the terms "Approved
Fund" and "CLO" have the following meanings:
"APPROVED FUND" means (a) a CLO and (b) with respect
to any Lender that is a fund which invests in bank loans and similar
extensions of credit, any other fund that invests in bank loans and
similar extensions of credit and is managed by the same investment
advisor as such Lender or by an Affiliate of such investment advisor.
"CLO" means any entity (whether a corporation,
partnership, trust or otherwise) that is engaged in making, purchasing,
holding or otherwise investing in bank loans and similar extensions of
credit in the ordinary course of its business and is administered or
managed by a Lender or an Affiliate of such Lender.
(iii) Subject to acceptance and recording thereof pursuant to
paragraph (b)(iv) of this Section 12.05, from and after the effective date
specified in each Assignment and Assumption the assignee thereunder shall be a
party hereto and, to the extent of the interest assigned by such Assignment and
Assumption, have the rights and obligations of a Lender under this Agreement,
and the assigning Lender thereunder shall, to the extent of the interest
assigned by such Assignment and Assumption, be released from its obligations
under this Agreement (and, in the case of an Assignment and Assumption covering
all of the assigning Lender's rights and obligations under this Agreement, such
Lender shall cease to be a party hereto but shall continue to be entitled to the
benefits of Sections 5.01, 5.05, 5.06 and 12.03). Any assignment or transfer by
a Lender of rights or obligations under this Agreement that does not comply with
this Section 12.05(b) shall be treated for purposes of this Agreement as a sale
by such Lender of a participation in such rights and obligations in accordance
with Section 12.05(c).
(iv) The Administrative Agent, acting for this purpose as an
agent of the Company, shall maintain at one of its offices a copy of each
Assignment and Assumption delivered to it and a register for the recordation of
the names and addresses of the Lenders, and
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the Commitment of, and principal amount of the Loans owing to, each Lender
pursuant to the terms hereof from time to time (the "REGISTER"). The entries in
the Register shall be conclusive, and the Company, the Administrative Agent and
the Lenders may treat each Person whose name is recorded in the Register
pursuant to the terms hereof as a Lender hereunder for all purposes of this
Agreement, notwithstanding notice to the contrary. The Register shall be
available for inspection by the Company and any Lender, at any reasonable time
and from time to time upon reasonable prior notice.
(v) Upon its receipt of a duly completed Assignment and
Assumption executed by an assigning Lender and an assignee, the assignee's
completed Administrative Questionnaire (unless the assignee shall already be a
Lender hereunder), the processing and recordation fee referred to in Section
12.05(b) and any written consent to such assignment required thereby, the
Administrative Agent shall accept such Assignment and Assumption and record the
information contained therein in the Register. No assignment shall be effective
for purposes of this Agreement unless it has been recorded in the Register as
provided in this paragraph.
(c) (i) Any Lender may, without the consent of the Company or
the Administrative Agent, sell participations to one or more banks or other
entities (a "PARTICIPANT") in all or a portion of such Lender's rights and
obligations under this Agreement (including all or a portion of its Commitment
and the Loans owing to it); PROVIDED that (A) such Lender's obligations under
this Agreement shall remain unchanged, (B) such Lender shall remain solely
responsible to the other parties hereto for the performance of such obligations
and (C) the Company, the Administrative Agent and the other Lenders shall
continue to deal solely and directly with such Lender in connection with such
Lender's rights and obligations under this Agreement. Any agreement or
instrument pursuant to which a Lender sells such a participation shall provide
that such Lender shall retain the sole right to enforce this Agreement and to
approve any amendment, modification or waiver of any provision of this
Agreement; PROVIDED that such agreement or instrument may provide that such
Lender will not, without the consent of the Participant, agree to any amendment,
modification or waiver described in the first proviso to Section 12.04 that
affects such Participant. Subject to paragraph (c)(ii) of this Section 12.05,
the Company agrees that each Participant shall be entitled to the benefits of
Sections 5.01, 5.05 and 5.06 to the same extent as if it were a Lender and had
acquired its interest by assignment pursuant to paragraph (b) of this Section
12.05. To the extent permitted by law, each Participant also shall be entitled
to the benefits of Section 4.05(a) as though it were a Lender, provided such
Participant agrees to be subject to Section 4.05(b) as though it were a Lender.
(ii) A Participant shall not be entitled to receive any
greater payment under Section 5.01 or 5.06 than the applicable Lender would have
been entitled to receive with respect to the participation sold to such
Participant, unless the sale of the participation to such Participant is made
with the Company's prior written consent.
(d) Any Lender may at any time pledge or assign a security
interest in all or any portion of its rights under this Agreement to secure
obligations of such Lender, including any pledge or assignment to secure
obligations to a Federal Reserve Bank, and this Section shall not apply to any
such pledge or assignment of a security interest; PROVIDED that no such pledge
or assignment of a security interest shall release a Lender from any of its
obligations hereunder or
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substitute any such pledgee or assignee for such Lender as a party hereto.
(e) A Lender may furnish any information concerning the
Company or any of its Subsidiaries in the possession of such Lender from time to
time to assignees and participants (including prospective assignees and
participants).
12.06 SURVIVAL. The obligations of any Borrower under Sections
5.01, 5.05 and 5.06, the obligations of the Lenders under Section 10.05 and the
obligations of the Company under Section 12.03 shall survive the repayment of
the Loans and the termination of the Commitments. In addition, each
representation and warranty made, or deemed to be made, by a notice of borrowing
of Loans hereunder shall survive the making of such Loans, and no Lender shall
be deemed to have waived, by reason of making any Loan, any Default or Event of
Default which may arise by reason of such representation or warranty proving to
have been false or misleading, notwithstanding that such Lender or the
Administrative Agent may have had notice or knowledge or reason to believe that
such representation or warranty was false or misleading at the time such Loan
was made.
12.07 CAPTIONS. Captions and section headings appearing herein
are included solely for convenience of reference and are not intended to affect
the interpretation of any provision of this Agreement.
12.08 COUNTERPARTS; EFFECTIVENESS. This Agreement may be
executed in any number of counterparts, each of which shall be identical and all
of which, when taken together, shall constitute one and the same instrument, and
any of the parties hereto may execute this Agreement by signing any such
counterpart. Except as provided in Section 6.01, this Agreement shall become
effective when it shall have been executed by the Administrative Agent and when
the Administrative Agent shall have received counterparts hereof which, when
taken together, bear the signatures of each of the other parties hereto, and
thereafter shall be binding upon and inure to the benefit of the parties hereto
and their respective successors and assigns. Delivery of an executed counterpart
of a signature page to this Agreement by telecopy shall be effective as delivery
of a manually executed counterpart of this Agreement.
12.09 GOVERNING LAW; JURISDICTION; SERVICE OF PROCESS; WAIVER
OF JURY TRIAL; ETC.
(a) THIS AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED IN
ACCORDANCE WITH, THE LAW OF THE STATE OF NEW YORK. ANY LEGAL ACTION OR
PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE TRANSACTIONS
CONTEMPLATED HEREBY, AND ANY ACTION OR PROCEEDING TO EXECUTE OR OTHERWISE
ENFORCE ANY JUDGMENT OBTAINED IN CONNECTION THEREWITH, MAY BE INSTITUTED IN THE
SUPREME COURT OF THE STATE OF NEW YORK, COUNTY OF NEW YORK OR IN THE U.S.
DISTRICT COURT FOR THE SOUTHERN DISTRICT OF NEW YORK, AND EACH OBLIGOR
IRREVOCABLY AND UNCONDITIONALLY SUBMITS GENERALLY (BUT NON-EXCLUSIVELY) TO THE
JURISDICTION OF EACH SUCH COURT. THE COMPANY IRREVOCABLY CONSENTS TO THE SERVICE
OF ANY AND ALL PROCESS IN ANY SUCH ACTION OR PROCEEDING
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BY THE MAILING OF COPIES OF SUCH PROCESS TO THE COMPANY AT ITS ADDRESS SET FORTH
UNDERNEATH ITS SIGNATURE HERETO. EACH DESIGNATED BORROWER HEREBY AGREES THAT
SERVICE OF PROCESS IN ANY SUCH ACTION OR PROCEEDING BROUGHT IN NEW YORK MAY BE
MADE UPON SUCH DESIGNATED BORROWER BY SERVICE UPON THE COMPANY AT THE "ADDRESS
FOR NOTICES" SPECIFIED BELOW ITS NAME ON THE SIGNATURE PAGES HEREOF AND EACH
DESIGNATED BORROWER HEREBY IRREVOCABLY APPOINTS THE COMPANY AS ITS AUTHORIZED
AGENT ("PROCESS AGENT") TO ACCEPT, ON BEHALF OF ITSELF AND ITS PROPERTY, SUCH
SERVICE OF PROCESS IN NEW YORK. EACH OBLIGOR AGREES THAT A FINAL JUDGMENT IN ANY
SUCH ACTION OR PROCEEDING SHALL BE CONCLUSIVE AND MAY BE ENFORCED IN OTHER
JURISDICTIONS BY SUIT ON THE JUDGMENT OR IN ANY OTHER MANNER PROVIDED BY LAW.
EACH OBLIGOR IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW, ANY
OBJECTION WHICH IT MAY NOW OR HEREAFTER HAVE TO THE LAYING OF THE VENUE OF ANY
SUCH PROCEEDING BROUGHT IN SUCH A COURT AND ANY CLAIM THAT ANY SUCH PROCEEDING
BROUGHT IN SUCH A COURT HAS BEEN BROUGHT IN AN INCONVENIENT FORUM. EACH OBLIGOR
FURTHER AGREES THAT ANY SUCH ACTION OR PROCEEDING AGAINST THE ADMINISTRATIVE
AGENT AND/OR ANY OF THE LENDERS SHALL BE BROUGHT ONLY IN THE SUPREME COURT OF
THE STATE OF NEW YORK, COUNTY OF NEW YORK OR IN THE U.S. DISTRICT COURT FOR THE
SOUTHERN DISTRICT OF NEW YORK AND THE ADMINISTRATIVE AGENT AND THE LENDERS
HEREBY CONSENT TO THE JURISDICTION OF SUCH COURTS FOR SUCH PURPOSE.
(b) EACH OF THE OBLIGORS, THE ADMINISTRATIVE AGENT AND THE
LENDERS HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW, ANY
AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING ARISING OUT OF OR
RELATING TO THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY.
12.10 SUCCESSORS AND ASSIGNS. This Agreement shall be binding
upon and inure to the benefit of the parties hereto and their respective
successors and permitted assigns.
12.11 JUDGMENT CURRENCY. This is an international loan
transaction in which the specification of Dollars or an Alternative Currency, as
the case may be (the "SPECIFIED CURRENCY"), and any payment in New York City or
the country of the Specified Currency, as the case may be (the "SPECIFIED
PLACE"), is of the essence, and the Specified Currency shall be the currency of
account in all events relating to Loans denominated in the Specified Currency.
The payment obligations of the Obligors under this Agreement and the Notes shall
not be discharged by an amount paid in another currency or in another place,
whether pursuant to a judgment or otherwise, to the extent that the amount so
paid on conversion to the Specified Currency and transfer to the Specified Place
under normal banking procedures does not yield the amount of the Specified
Currency due hereunder at the Specified Place. If for the purpose of obtaining
judgment in any court it is necessary to convert a sum due hereunder in the
Specified Currency
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into another currency (the "SECOND CURRENCY"), the rate of exchange which shall
be applied shall be that at which in accordance with normal banking procedures
the Administrative Agent could purchase the Specified Currency with the Second
Currency on the Business Day next preceding that on which such judgment is
rendered. The obligation of each Obligor in respect of any such sum due from it
to the Administrative Agent or any Lender hereunder (an "ENTITLED PERSON")
shall, notwithstanding the rate of exchange actually applied in rendering such
judgment, be discharged only to the extent that on the Business Day following
receipt by such Entitled Person of any sum adjudged to be due hereunder or under
the Notes in the Second Currency such Entitled Person may in accordance with
normal banking procedures purchase and transfer to the Specified Place the
Specified Currency with the amount of the Second Currency so adjudged to be due;
and each Obligor hereby, as a separate obligation and notwithstanding any such
judgment, agrees to indemnify such Entitled Person against, and to pay such
Entitled Person on demand in the Specified Currency, any difference between the
sum originally due to such Entitled Person in the Specified Currency and the
amount of the Specified Currency so purchased and transferred.
12.12 WAIVER OF NOTICE UNDER EXISTING CREDIT AGREEMENT. By its
execution hereof, each undersigned Lender that also is a party to the credit
agreement referred to in Section 6.01(c) hereby waives the provisions of such
credit agreement that would require advance notice for the termination of
commitments thereunder; PROVIDED that the foregoing waiver shall apply only to
the termination of all commitments under such credit agreement and repayment of
all loans outstanding thereunder in connection with the effectiveness of this
Agreement.
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IN WITNESS WHEREOF, the parties hereto have caused this
Agreement to be duly executed as of the day and year first above written
▇▇▇▇▇▇ RUBBERMAID INC.
By: /s/ ▇.▇. ▇▇▇▇▇▇▇▇▇
-----------------------------
Name: ▇.▇. ▇▇▇▇▇▇▇▇▇
Title: Vice President-Treasurer
Address for Notices:
▇▇▇▇▇▇ Rubbermaid Inc.
▇▇ ▇▇▇▇ ▇▇▇▇▇▇▇▇▇▇ ▇▇▇▇▇▇
▇▇▇▇▇▇▇▇, ▇▇▇▇▇▇▇▇ ▇▇▇▇▇
Attention: ▇.▇. ▇▇▇▇▇▇▇▇▇
Vice President-Treasurer
Telecopier No.: (▇▇▇) ▇▇▇-▇▇▇▇
Telephone No.: (▇▇▇) ▇▇▇-▇▇▇▇
THE ADMINISTRATIVE AGENT
JPMORGAN CHASE BANK,
as Administrative Agent
By: /s/ ▇▇▇▇▇▇▇▇ ▇. ▇▇▇▇▇
-----------------------------
Name: ▇▇▇▇▇▇▇▇ ▇. ▇▇▇▇▇
Title: Vice President
Address for Notices:
JPMorgan Chase Bank
Loan and Agency Services Group
1 Chase ▇▇▇▇▇▇▇▇▇ ▇▇▇▇▇
▇▇▇ ▇▇▇▇▇
▇▇▇ ▇▇▇▇, ▇▇▇ ▇▇▇▇ ▇▇▇▇▇
Attention: ▇▇▇▇▇▇▇▇ ▇▇▇▇▇▇▇▇
Telecopier No.: (▇▇▇) ▇▇▇-▇▇▇▇
Telephone No.: (▇▇▇) ▇▇▇-▇▇▇▇
LENDERS
JPMORGAN CHASE BANK
By: /s/ ▇▇▇▇▇▇▇▇ ▇. ▇▇▇▇▇
-----------------------------
Name: ▇▇▇▇▇▇▇▇ ▇. ▇▇▇▇▇
Title: Vice President
BANK OF AMERICA, N.A.
By: /s/ ▇▇▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇▇
-----------------------------
Name: ▇▇▇▇▇▇ ▇▇▇▇▇ Horos
Title: Vice President
BANK ONE, NA
By: /s/ ▇▇▇▇▇ ▇▇▇▇▇▇▇▇
-----------------------------
Name: ▇▇▇▇▇ ▇▇▇▇▇▇▇▇
Title: Director, Capital Markets
BNP PARIBAS
By: /s/ JO ▇▇▇▇▇ ▇▇▇▇▇▇
-----------------------------
Name: Jo ▇▇▇▇▇ ▇▇▇▇▇▇
Title: Managing Director
By: /s/ ▇▇▇▇▇ ▇▇▇▇▇▇
-----------------------------
Name: ▇▇▇▇▇ ▇▇▇▇▇▇
Title: Central Region Manager
BARCLAYS BANK PLC
By: /s/ L. ▇▇▇▇▇ ▇▇▇▇▇▇
-----------------------------
Name: L. ▇▇▇▇▇ ▇▇▇▇▇▇
Title: Director
COMMERZBANK AG, NEW YORK AND
GRAND CAYMAN BRANCHES
By: /s/ ▇▇▇▇ ▇▇▇▇▇▇
-----------------------------
Name: ▇▇▇▇ ▇▇▇▇▇▇
Title: Vice President
By: /s/ ▇▇▇▇▇▇ ▇▇▇▇▇▇
-----------------------------
Name: ▇▇▇▇▇▇ ▇▇▇▇▇▇
Title: Assistant Treasurer
THE BANK OF TOKYO-MITSUBISHI, LTD.,
CHICAGO BRANCH
By: /s/ ▇▇▇▇▇▇▇▇▇▇ ▇▇▇▇▇▇▇▇▇
-----------------------------
Name: ▇▇▇▇▇▇▇▇▇▇ ▇▇▇▇▇▇▇▇▇
Title: Deputy General Manager
CITIBANK, N.A.
By: /s/ ▇▇▇▇▇ ▇. ▇▇▇▇▇▇
-----------------------------
Name: ▇▇▇▇▇ ▇. ▇▇▇▇▇▇
Title: Vice President
▇▇▇▇▇▇ ▇▇▇▇▇▇▇ BANK
By: /s/ JAAP L. TONCKENS
-----------------------------
Name: Jaap L. Tonckens
Title: Vice President
THE NORTHERN TRUST COMPANY
By: /s/ ▇▇▇▇▇ ▇▇▇▇▇
-----------------------------
Name: ▇▇▇▇▇ ▇▇▇▇▇
Title: Vice President
ING BANK N.V.
By: /s/ ▇▇▇▇ ▇▇▇▇▇
-----------------------------
Name: ▇▇▇▇ ▇▇▇▇▇
Title: Director
By: /s/ ▇▇▇▇▇ ▇▇▇▇▇
-----------------------------
Name: ▇▇▇▇▇ ▇▇▇▇▇
Title: Vice-President
BANCA DI ROMA - CHICAGO BRANCH
By: /s/ ▇▇▇▇▇ ▇▇▇▇▇▇▇▇▇
-----------------------------
Name: ▇▇▇▇▇ ▇▇▇▇▇▇▇▇▇
Title: Vice President
By: /s/ ENRICO VERDOSCIA
-----------------------------
Name: Enrico Verdoscia
Title: Sr. Vice President
U.S. BANK NATIONAL ASSOCIATION
By: /s/ ▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇
-----------------------------
Name: ▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇
Title: Vice President
THE BANK OF NEW YORK
By: /s/ ▇▇▇▇ ▇'▇▇▇▇▇▇
-----------------------------
Name: ▇▇▇▇ ▇'▇▇▇▇▇▇
Title: Vice President
NORDEA BANK EINLAND PLC
By: /s/ ▇▇▇ ▇▇▇▇▇▇▇▇▇
-----------------------------
Name: ▇▇▇ ▇▇▇▇▇▇▇▇▇
Title: Vice President
By: /s/ ▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇
-----------------------------
Name: ▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇
Title: Vice President
DANSKE BANK A/S
By: /s/ ▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇
-----------------------------
Name: ▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇
Title: Vice President
By: /s/ ▇▇▇▇ ▇. ▇'▇▇▇▇▇
-----------------------------
Name: ▇▇▇▇ ▇. ▇'▇▇▇▇▇
Title: Assistant General Manager
FIFTH THIRD BANK (CHICAGO)
By: /s/ ▇▇▇▇▇▇▇▇▇▇▇ ▇. ▇▇▇▇▇
-----------------------------
Name: ▇▇▇▇▇▇▇▇▇▇▇ ▇. ▇▇▇▇▇
Title: Assistant Vice President
